80% of S&P 500 Stocks Above 20 and 200 Day Averages

As of Tuesday's close, over 80% of the stocks in the S&P 500 were trading above their 20 and 200-day moving averages. In the chart below, we highlight prior occurrences since 2001 where the same thing occurred. The last occurrence was in December 2004, after which the market began a 6% correction. However, in 2003, we had a stretch where there were numerous occasions where 80% of the stocks in the S&P 500 were above their 20 and 200 day averages, and yet the market kept on chugging.