Improving Tape Turns Tactical Model Positive

New lows collapse again - now it is on new highs to expand

Key Takeaway: Tactical improvement provides a better foundation for index-level strength, but cyclical liquidity challenges persist.

The collapse in the new low list has pushed net new highs into positive territory. That has been enough to turn our Fear or Strength Model positive, but if gains are going to persist, we likely need to see new highs expand (which they have failed to do on multiple occasions over the past year).

This and the ongoing bond market pivot were the focus of this week's Three For Thursday video update: