The S&P 500 is trading up about 0.8% to start the day but there isn't any specific news that is driving the action. What is happening is that steady strength combined with a high level of cash and 'fear of missing out' is creating additional buying pressure.
Many market players have been confused about how the stock market can shrug off the Covid-19 crisis and when their worries are ignored for so long, they feel they have no choice but to put some of their idle cash to work. This is typical 'climbing the wall of worry' action but it is a bit different because it is taking place when much of the market is still in a bear market. The negativity is even higher than typical and so are cash levels which is what is causing this consistent strength.
Breadth is running around 5400 gainers to 1700 decliners but there are still only about 70 stocks at 12-month highs. This is still just a very large counter-trend bounce but more and more folks are ready to embrace the 'V-shaped' recovery idea the longer it lasts.
I'm focused on trading individual stocks and am not worrying too much about overall market direction right now. My Stock of the Week is a Covid-19 test kit maker, Co-Diagnostics (CODX) . Also, I am trading 'at home work' play Slack (WORK) and vaccine developer Vaxart (VXRT) .
So far there is no sign of any great desire to sell into this strength. Market players are far more interested in looking for opportunities to buy, rather than to sell.