A rare technical signal is drawing attention on Wall Street, pointing to possible gains for U.S. stocks even as tariff concerns from major companies raise risks for the economy.
According to Benzinga Pro, the S&P 500 – as tracked by the SPDR S&P 500 ETF Trust, SPY has gained over 5% in the past five trading sessions, driven by strong buying momentum across sectors. Tesla, Inc TSLA stock surged 10% to $285.50 Friday afternoon, heading to its best weekly performance of 2025 with a 24% gain.
Particularly, over the last three trading days, more than 70% of stocks on the New York Stock Exchange (NYSE) posted daily gains — a clear sign of widespread market participation.
The last time a similarly strong buying streak extended to four consecutive days was during the rebound of April 2020, following the pandemic-driven crash.
Ryan Detrick, Chief Market Strategist at Carson Group LLC, highlighted the significance of this rare “breadth thrust,” noting that the S&P 500 finished higher one year later in 27 of the past 28 similar instances.
A breadth thrust occurs when a large percentage of stocks rally together over several sessions, indicating broad-based investor enthusiasm rather than isolated leadership among a few mega-cap names. Historically, such patterns have preceded the start of major bull markets.
Detrick posted on X, previously called the Twitter, “Yet another rare and potentially bullish trigger from this week.”
While technical indicators point to optimism, economic challenges persist. Executives from companies including American Airlines Group Inc. AAL, PepsiCo Inc. PEP, and Procter & Gamble Co. PG warned that ongoing tariff uncertainty complicates planning and may pressure consumer sentiment.
Meanwhile, auto groups representing General Motors Co. GM, Volkswagen, and Toyota Motor Corporation TM urged policymakers to reconsider tariffs on car parts, citing potential price increases for consumers.
On the contrary, leaders from firms, including 3M Company MMM CEO William Brown, emphasized strategic flexibility to maintain international trade ties, while others, like Steel Dynamics’ Mark Millett, expressed support for certain tariffs, The Wall Street Journal reports.
Despite macroeconomic headwinds, the breadth thrust suggests underlying resilience in U.S. equities.
Investors may consider prominent names like Apple Inc. AAPL and Amazon.com, Inc. AMZN, or broader exposure via the iShares Russell 2000 ETF IWM.
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Image: Shutterstock/15 April
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