zerohedge.com / by Tyler Durden / Aug 4, 2017 3:00 PM
This week has seen yet more examples of poor internals despite new highs in the major averages.
Last week, we highlighted 2 recent potential examples of a weakening in the “internals” of the stock market rally. Again, by internals, we are referring to the amount of participation in the rally as measured by statistics such as advancing vs. declining stocks, advancing vs. declining volume and new 52-week highs vs. 52-week lows. The broader the participation, the stronger the foundation in the rally. Last week’s posts demonstrated some possible cracks in what has been a pretty solid foundation.
Today, we highlight another example of potential internal cracks, similar to those mentioned last week. This one involves the Dow Jones Industrial Average (DJIA), which has been on a roll of late, setting now 7 consecutive all-time highs. Yesterday’s new high was interesting in its lack of participation from the rest of the market.