Homrich & Berg says improving stock breadth signals bull market remains intact
SPY•Improving breadth seen as bullish despite summer volatility
Homrich & Berg flagged improving equity breadth as a bullish signal despite a volatile summer.
- About 71% of stocks trade above 50-day and 200-day moving averages, above long-term averages of 57% and 62%.
- Smaller-cap stocks lead larger peers by 187 bps in 2026; the equal-weighted Bloomberg 1000 beats the cap-weighted index by 92 bps.
- Equal-weighted tech rises 35.7% in 2026 versus 24% for cap-weighted tech, highlighting mega-cap drag and sector distortion.
- The sector model favors energy, tech, materials; it disfavors communications, real estate, financials, though financials beat the benchmark by 479 bps this quarter.
