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Experts: the situation on the world market resembles a bullish 2020


January, 18 2024
watermark Economic news

Starting in 2024, the American stock market is showing a decrease in concentration and expansion, and technical indicators indicate that the global stock market is in a good position. 


NDR research company conducted an analysis of market indicators that indicate bullish signals. These include healthy consolidation, increased company participation in market growth, and reduced concentration on individual market leaders. All this resembles the bullish market of the end of 2020, not the bearish market of the beginning of 2000 or the end of 2021.


Of the 47 component stocks of the All Country Wide Index (ACWI), 92% are above their 50-day moving averages, and 89% of them are in a state of growth. The concentration of shares of the largest companies by capitalization in this index reached a new peak in September, but then declined slightly.


The cumulative Rally Watch index has risen above 50%, which was also observed in 2020. This indicator then rose above 50% after the peak of concentration and decreased in 2020. However, he was unable to do so after concentration peaks in 2000 and 2021.


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