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The easiest way to get a read on the internal health of the market is to look at “growth” indexes like the Russell 2000 and the Nasdaq Composite. They tell you a lot about investor views of the economy, earnings, and risk appetite in general. Also, we want to see “offensive” sectors like Finance, Tech, Industrials, and Consumer Discretionary doing well. Check out my video for other ways to measure breadth.

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