Nikkei breakout supported by a surge in new highs

The Nikkei 225, Japan's benchmark equity index, recorded a new all-time high this week. The breakout was fueled by a surge in stocks registering a 12-week high, which surpassed 50%, marking the eighth-highest level in history. Such broad-based participation supports the durability of the move. 

Whenever the percentage of Nikkei 225 stocks registering a 12-week high surpassed 50% for the first time in six months, the benchmark Japanese index showed a gain at some point over the next three months in every instance.