NYSE Breadth Signals Weakening Momentum
Breadth turns cautious while volatility builds — neutral bias until confirmation.
About this report This Market Breadth Update tracks the internal dynamics of the New York Stock Exchange (NYSE) market, the largest and broadest equity marketplace in the world. It reflects the behavior of over 2,000 listed stocks, not just the S&P 500, providing a deeper view of overall market participation and underlying momentum.
IMGELD Market Breadth Update: 2025-10-08
Executive Summary
As per 2025-10-07 market closing data, the portfolio bias remains NEUTRAL with downside risk not confirmed, based on the last five trading sessions. Breadth weakened as the McClellan Summation Index continued to slip while NYAD turned sharply negative; new highs faded toward 127 with new lows lifting to 52, and volatility is neutral but firming with VIX at 17.24 and RVX at 22.78.
Confirmation would require 2–3 consecutive sessions with the McClellan Summation Index stabilizing and turning higher, NYHGH (new 52-week highs) expanding toward 200 or more, and NYLOW (new 52-week lows) staying below 40. A deterioration with the McClellan Summation Index dropping below zero alongside a rising VIX would confirm a downside break.
• For LONGS: focus on positions above the 200/150 SMA, confirming support, and prioritize industries with a High ImGeld Industry Score rating.
• For SHORTS: focus on positions below the 200/150 SMA, rejecting resistance, and prioritize industries with a Low ImGeld Industry Score rating.
Remember, fundamentals represent 80% of every decision while 20% comes from technical setup. Timing matters. ImGeld subscribers can access the full set of technical indicators for each stock once it passes the fundamental screening.
Global Read
As per 2025-10-07 closing data, structural momentum is softening: the McClellan Summation Index has declined across recent sessions to 367.20, still positive but losing thrust. Participation deteriorated with a large negative NYAD reading of -971 on the latest day, signaling broad selling pressure. The presence of relevant new highs is limited with NYHGH at 127, while NYLOW has risen to 52 yet remains below heavy-stress territory.
Volatility sits in neutral bands with VIX at 17.24 and RVX at 22.78, both edging higher; over the next 3–8 weeks, expect a choppy range with a slight downside bias unless NYSI stabilizes and new highs expand toward 200–300.