Mike Wilson: What Collapsing Market Breadth Is Telling Us

By Michael Wilson, chief US equity strategist at Morgan Stanley

One of the key technical factors I’ve used over time to gauge the health of equity markets is the breadth of participation by the underlying stocks. Recently, we have fielded many questions from clients about breadth, as many have noted that December has exhibited some of the worst breadth in history while stock indices have remained near all-time highs.