S&P 500 Tech Breadth Hits Highest Since October 2024

The Kobeissi Letter reports that tech-sector breadth is improving rapidly. Last week, 75% of S&P 500 technology sector constituents finished above their 200-day moving average, the highest share since October 2024 and the first time this threshold has been reached in 219 trading days. That ended the ninth-longest streak on record below the level.

By comparison, the longest stretch with less than 75% of tech stocks above the 200-day average lasted 759 trading days and ended on April 22, 2003 after the Dot-Com bust. Historically, when such streaks ended, the technology sector returned on average 2.5% over the next month and 7.3% over three months. Average gains reached 15.5% after six months and 33.4% after twelve months.

Meanwhile, 69% of Nasdaq 100 stocks are now trading above their 200-day moving average, close to the highest share since July 2025, indicating the tech stock rally is gaining momentum.