Breadth Brief

Price Action: QQQ fell 3.47% on Friday's session to 690.49, after a 1.42% decline on Thursday. That leaves the index 1.97% below the prior week's close.

Absolute Breadth: Equal-weight breadth held at 47.0% in Bull Consolidation, exactly where it was on Thursday. Market-cap-weighted breadth dropped from 26.7% to 22.8% and sits deeper in Bear Liquidation. The average stock held its ground while the heavyweights took the hit.

Distortion Context: The spread widened from -20.3% on Thursday to -24.2% on Friday, a Mega-Cap Illusion reading. MCW lost another 3.9 points with EW unchanged, so the index loss traces back to the top of the cap structure, not to broad selling. Price shows a 3.47% drop. Equal-weight breadth shows nearly half the index still in Bull Consolidation.

Weekly Context: Both weekly planes remain in Bull Consolidation. Weekly EW sits at 24.6%, inside the Washout Zone, while weekly MCW eased to 40.6% from 46.3% and the weekly spread narrowed to +16.0% from +21.5%, still Mega-Cap Illusion. The daily MCW reading is in Bear Liquidation, a regime the weekly plane has not reached.

Price Action: SPY fell 1.77% on Friday's session to 755.72, about half the QQQ decline, after a 0.38% dip on Thursday. For the week, the index is down 0.56% from the prior week's close.

Absolute Breadth: Both planes stayed in Bull Consolidation. Equal-weight breadth rose to 52.5% from 51.8% on Thursday, and market-cap-weighted breadth rose to 42.6% from 41.8%. Internal structure improved on a day the index closed down nearly 2%.

Distortion Context: EW leads MCW by 9.9 points, a Selective Strength reading and essentially unchanged from Thursday's 10.0. Both measures improved together, so the lead comes from the average stock, not from heavyweights propping up the index. That is the contrast with QQQ, where the damage sits at the top of the cap structure.

Weekly Context: The weekly plane is less settled. EW is in Bear Liquidation at 23.1%, inside the Washout Zone and up from 20.7% the prior week, while MCW holds Bull Consolidation at 19.6%. The weekly spread of -3.5% is Healthy Sync. The daily readings are firm. The weekly EW reading is still depressed.