Yesterday morning in this newsletter, I called out a textbook shallowing pre-breakout pattern that had been forming in the S&P 500 for the past few months.
As of yesterday’s close, the S&P 500 has just booked its first new high of 2026 – breaking past the resistance level above.
That could be the start of a major breakout.
But today, I want to call your attention to another index…
One that’s just staged an even more powerful breakout.
Chart of the Day
This is the Equal-Weight S&P 500 (RSP), which is the S&P 500 assuming all 500 components are weighted equally instead of by market cap.
And as you can see it’s just staged an even more powerful breakout after a similar pattern…
Performing nearly twice as well as the S&P 500 yesterday.
With how concentrated the U.S. markets have become with the mega-cap names…
We want to see broader participation that will give the rally legs.
That means the breakout in the Equal-Weight is a great sign for the markets.
But as I explain below – the breakouts are already happening…
And it’s being caused by one thing.
Insight of the Day
The pattern above shows classic institutional accumulation – the biggest force in the market.
Look again at the textbook pre-breakout shallowing pattern in the charts above.
Now take a look at these charts.
Like in Dream Finders Homes…
Eagle Materials…
And Mohawk Industries:
I’m sure you’ve noticed something familiar.
You see, there’s a reason that these stocks all exhibit the exact same pattern before they broke out.
The reason? Institutional buying – the biggest and most powerful force in the markets.
There’s a certain way that a stock’s price acts when institutions are quietly taking a position in it.
And if you know how to spot it…
You can make an absolute killing.
And later this afternoon at 3 p.m. Eastern…
I’m going LIVE to show you exactly how to do this for yourself.
We recommended a stock last Friday based on the strategy I’ll demonstrate later…
And it’s already up over 20% (in just 2 trading days).
But with so many more stocks breaking out right now…
Gains like these could just be the start.
So don’t let yourself miss out.
Click here to lock in your free spot at my live session later if you haven’t already…
And I’ll see you later this afternoon at 3 p.m. ET
P.S. If you’re planning to attend on a mobile device, make sure you download the presentation app now so you don’t miss anything when it starts. See you there.
iOS: https://apps.apple.com/us/app/goto/id1465614785
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Customer Story of the Day
“I guess I have been a newbie in the stock market for years. Buying a stock and just letting it ride.
Yes, I made a little money, but after finding Ross Givens and his educational methods a few months ago, I have moved the stocks in my portfolio to ones with more potential than ever before.
I am so impressed I purchased a lifetime membership and learned a new selection method daily.”
Ross Givens
Editor, Stock Surge Daily
