Vanguard Morningstar Total Stock Market ETF Approaches $377 Threshold; Market Breadth Strengthens

Vanguard Morningstar Total Stock Market ETF Approaches $377 Threshold; Market Breadth Strengthens

NEW YORK, August 3, 2026, 12:12 EDT New York Stock Exchange

  • Vanguard Morningstar Total Stock Market ETF rose 1.32% to $373.06, trading 1.11% under a model-based breakout threshold of $377.20.
  • A drop back to the model’s $363.93 long-entry support reflects a move of 2.45%. This is 2.2 times the size of the residual breakout gap.
  • Small-cap stocks led gains, with the iShares Russell 2000 ETF advancing 1.61%.

VTI gained 1.32% to reach $373.06 in midday trading on Monday, while NYSE Arca’s main trading hours continued.

Stock chart for NYSEARCA:VTI

The advance put VTI 1.11% under Stock Traders Daily’s breakout threshold of $377.20. The long-entry support identified by the firm was 2.45% beneath, at $363.93.

This results in a 2.2-to-1 gap between downside and breakout. Timing entries has now become more important than the general Buy ratings.

Intraday figures are subject to change as prices may fluctuate rapidly.

ReferenceLevelGap from $373.06Model role
Mid-term support$361.66-3.06%Support for five to 20 days
Long-entry support$363.93-2.45%Position trade entry point
Near-term support$364.41-2.32%Support for one to five days
Resistance and trigger$377.20+1.11%Long target, breakout level, and short entry
Breakout target$384.74+3.13%Target for momentum moves
Short target$358.34-3.95%Hedge target

Stock Traders Daily’s 10:10 a.m. report provides the levels. Gaps are calculated using the 11:56 a.m. quote for VTI.

Caution is advised regarding the model’s headline short ratio. The shown entry, target, and stop suggest approximately 16.7-to-1 prior to any undisclosed modifications. The summary lists a 12.2-to-1 ratio. The target displayed is 5.0% under entry, compared to 3.5% referenced in the summary.

The connected reports diverge primarily regarding their timeframes.

Source or measureHorizonPublished reading
Stock Traders DailyOne to five daysNeutral
Stock Traders DailyFive to 20 daysNeutral
Stock Traders DailyBeyond 20 daysStrong
TipRanks moving averagesOverall technical outlookBuy; nine bullish, three bearish
TipRanks oscillatorsMomentumStrong Sell
TipRanks rate of changeMomentum-1.72

The Stock Traders Daily report came out on Monday, while TipRanks released its review on Friday.

The divide is well-known. Trend indicators stay positive even as momentum signals ease.

Monday’s session further strengthened the breakout case.

Listed fundMarket segmentMidday move
iShares Russell 2000 ETF Small caps+1.61%
Invesco QQQ Trust Nasdaq growth+1.38%
VTITotal U.S. market+1.32%
iShares Core S&P Total U.S. Stock Market ETF (NYSEARCA:ITOT)Total U.S. market+1.26%
Vanguard S&P 500 ETF Large caps+1.22%
Schwab U.S. Broad Market ETF (NYSEARCA:SCHB)Broad U.S. market+1.21%

Prices are based on transactions logged from 11:56 to 11:57 a.m. EDT.

Advancing stocks on the NYSE led decliners by a ratio of 1.89-to-1 just after the market opened. Crude oil prices dropped significantly, with seven S&P 500 sectors posting gains.

VTI offers broad exposure by number of holdings but is heavily weighted at the top. At the end of March, ten stocks made up 33.4% of assets, despite accounting for just 0.29% of the 3,507 securities in the fund.

The nearest full-market competitors are almost identical in terms of fees.

Total-market fundExpense ratioHoldingsReported net assetsMonday move
VTI0.03%3,494$660.25 billion+1.32%
ITOT0.03%2,448$94.34 billion+1.26%
SCHB0.03%2,356$43.26 billion+1.21%

Data on VTI holdings and assets is sourced from TipRanks’ review as of July 31. Figures for ITOT and SCHB are provided by their respective issuers.

VTI holds assets over 15 times greater than SCHB. On Monday, the funds moved within just 0.10 percentage point of each other. In this trade, timing is more crucial than choosing between the funds.

The fund adopted its present official name on July 29. Vanguard stated that its management and objectives remain the same.

TipRanks sets a target of $445.61, representing a 19.4% increase from midday levels. This number reflects a weighted average of analyst ratings on the ETF’s component holdings, rather than a direct sell-side target on the ETF itself.

Macro events remain able to outweigh technical indicators. Chris Larkin, representing E*TRADE from Morgan Stanley , stated that bulls this week would look to earnings and jobs data to “have to do the heavy lifting for the bulls this week.” Reuters

Risks: If there is an unsuccessful attempt to rise above $377.20, attention may shift back to the $363.93 support level. Shifts in geopolitics, oil prices, and Friday’s jobs data could rapidly disrupt these technical indicators.

The upcoming test is limited in scope. For any move above $377.20 to hold, broader participation is necessary. If not, the existing 2.2-to-1 disparity suggests waiting is prudent.

TS2 TECH • EXTENDED COVERAGE

Further analysis

Following VTI’s rise, how much potential for further gains is left?
VTI was last seen at about $373.13 on August 3, just below its high of $374.70. Its market-price return reached 10.49% through July 31. RobinhoodVTI mirrors the S&P 500 closely with an R-squared of 99%. A Reuters survey forecast a median year-end 2026 index level of 7,620. The index was near 7,586 on August 3, suggesting gains of less than 1%. Citi and Goldman have set their targets at 8,100 and 8,000, respectively, highlighting the broad range.
Is further earnings growth enough to drive stocks higher?
FactSet forecasts S&P 500 earnings will increase by 29.1% in 2026. Analysts anticipate growth of 27.4% in Q3 and 25.2% in Q4. Blended growth for Q2 was 47.4%, though this was boosted by significant nonoperating gains. Without Alphabet and Amazon, the figure drops to 28.8%. Continued strength in operating earnings is now the main focus.
Does VTI remain fairly valued?
FactSet calculates the S&P 500's forward earnings multiple at 19.6. This figure is lower than the five-year average of 19.9 but exceeds the ten-year average of 19.0. VTI holds a 92.2% allocation to large-cap stocks, making it a suitable benchmark. The current valuation offers minimal cushion for any earnings shortfall.
What kind of concentration risk is present within VTI's broad diversification?
VTI holds 3,542 stocks, but technology makes up 36.07% of its assets. The fund’s top ten positions represent 31.88% of total holdings. Nvidia and Apple together constitute 12.17%. This level of concentration ties VTI’s performance to AI investments and the earnings of large-cap companies. A broad base of holdings does not eliminate that exposure.
Might the Federal Reserve pose a new obstacle?
The Federal Reserve kept its target range steady at 3.50%–3.75% on July 29. Three members favored raising rates by 25 basis points. Inflation stayed above the 2% target. Rate reductions remain uncertain. Higher yields could put pressure on VTI’s tech-focused valuation.
Shan Ahmed Khan

Shan Ahmed Khan is a senior markets reporter at TS2.tech. His coverage ranges from stocks and technology to economic developments across global markets. He worked in investment research and market analysis before becoming a financial journalist and is a graduate of the Lahore University of Management Sciences (LUMS).

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