The Major Trend Index remains Neutral, with tactical equity exposure ticking up to 53% alongside the S&P 500's eighth consecutive weekly gain - the longest streak since the end of 2023. Large cap breadth improved meaningfully last week, with the average S&P 500 stock posting its best relative performance versus the cap-weighted index since mid-February, lifting the Technical subset's Equal Weighted relative strength ratio just above "max negative." Still, the Trend subcategory's bifurcated scores remain wide, and it would take several more weeks of broad participation to close the gap between the current "haves" and "have-nots."
Small advances in Cyclical factors tied to Fed liquidity offer a tentative positive, though it's too early to confirm a sustained shift. Notably absent this year: the usual "Sell in May" chatter, even as the May–October window, overlaid with the election cycle, has historically been the worst six-month span for the S&P 500 over the past 100 years.
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