Taking the analysis further
If you want to go deeper than the weekly charts — including how the levels translate into actual trade planning and risk management — you can follow the work Brian Shannon and I do at Alphatrends.
That’s where we walk through the same market structure in real time and apply the process to actual trade setups.
Summary
Markets didn’t just bounce—they followed through and broke out.
After weeks of tracking a steady decline, then a bounce and confirmation phase, we now have a completed sequence: higher lows, higher highs, and expanding participation. Major indices are back at new weekly closing highs, leadership remains strong, and what looked like overhead supply was quickly absorbed.
This is no longer a countertrend move. It’s a trend attempt.
The question now shifts from “is this real?” to “can it sustain?”
Key Takeaways
New highs across the board
SPX, QQQ, and IWM all pushing to or near new weekly closing highs
Dow back into a key prior supply zone
Three weeks of aggressive buying
Strong upside continuation each week
Minimal pullbacks—buyers in clear control
Overhead supply absorbed
Prior resistance zones cleared quickly
No meaningful hesitation at key levels
Breadth and participation expanding
% of stocks above 50-day MA surged from ~20% to ~60%
Bullish percent indices back to “bull confirmed”
Leadership remains strong
Semiconductors continue to lead
Biotech (XBI) confirms strength and negates prior topping pattern
Software rebounds sharply
Strong bounce, but still needs follow-through
One of the last areas to fully confirm
Risk-on signals returning
Growth > value
Discretionary > staples
High beta outperforming low volatility
Bitcoin improving
Back above key reference levels
Still has work to do, but structure is improving
Bonds quiet, not disruptive
Stability helping support equity strength
Commodities stabilizing
Oil volatility easing after extreme ranges
Gold and silver consolidating
Bottom Line
The sequence we’ve been tracking is complete.
This is no longer just a bounce—it’s a confirmed trend attempt driven by strong, broad-based buying.
Pullbacks can happen at any time, but for now:
Buyers are in control
Participation is expanding
Trends are moving higher
We buy uptrends and manage risk.
References & Chart Resources
Chart School
https://www.trading-adventures.com/t/chart-school
The Bullish Percent Index – A Technician’s Perspective
Relative Strength – What Is It Really?
Take the analysis further
If you want to go beyond the weekly charts — including how the levels translate into real trade planning and risk management — you can follow the work Brian Shannon and I do at Alphatrends.
That’s where we review the markets in real time and walk through how the same principles are applied to actual trade setups.
Important: This content is provided for educational purposes only. If you’re reading this online, please review the full disclosure here.
