Hey, Ross here:
As I’ve been saying, we’re still very much in a bull market.
But what kind of bull market is this? I explain below.
Chart of the Day
![](https://stocksurgedaily.com/wp-content/uploads/2024/06/image-9.png)
Even as the Nasdaq hits new highs, the percentage of stocks above their 200-day moving averages are stalling. Almost half trade beneath their 200-day average.
The number of stocks advancing versus the number of stocks declining, has also been weakening.
This is a classic divergence – where the market keeps going higher, while participation goes lower.
This is also why the S&P 500 and the Nasdaq are at all-time highs – while the Russell 2000 has been clearly lagging.
Again, this isn’t a bearish signal – I’m not expecting a crash anytime soon. I’m just pointing out that market strength is coming from a select group of stocks.
And that has obvious implications on how we should trade.
Insight of the Day
In a narrow bull market, traders must stay in tune with the theme of the market and focus on the names showing high relative strength.
Traditional bull markets are easy. Everything goes up. Your only job is to pick which stocks will go up the most.
Narrow bull markets like this one are different. Stock selection becomes more challenging AND simultaneously more important.
The good news is, if you know how to pick them – you can do even better than in traditional bull markets, because the gains are more concentrated in these stocks.
That’s why tomorrow morning at 11 a.m. Eastern…
I’m going LIVE for a masterclass that will allow you to position yourself in this select group of stocks, so you can target maximum gains in this narrow bull market.
I’ll show you how to use my “secret weapon” for sniffing out these stocks – my favorite chart pattern of all time.
After my live masterclass tomorrow, you’ll know:
- How this pattern looks like in individual stocks
- The “must-know” rules that will allow you to instantly filter for this pattern
- And the exact spot within this pattern you should position yourself for maximum gains
So make sure you click here to save your spot for my live masterclass tomorrow…
Watch out for the login details in your inbox before it starts…
And I’ll see you Tuesday morning at 11 a.m. ET sharp.
Embrace the surge,
![](https://stocksurgedaily.com/wp-content/uploads/2024/01/unnamed-12.png)
Ross Givens
Editor, Stock Surge Daily