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.
The Markets
The market continues to send a mixed message. While the major indices remain in longer-term uptrends, short-term momentum has faded, leadership has narrowed, and money continues to rotate toward more defensive areas of the market. This week we revisit several key levels discussed last weekend, evaluate whether buyers followed through, and identify the sectors showing relative strength—and those still struggling to regain their footing. As always, the goal isn’t to predict what comes next, but to interpret the evidence the market is providing and adjust accordingly.
Show Notes
Last week’s potential follow-through never developed as SPY and QQQ remained under pressure.
SPY is below its 4- and 10-week moving averages but continues to hold above longer-term support.
QQQ is testing a critical support area that could determine the next intermediate move.
Dow Industrials and Russell 2000 continue to hold up better than the large-cap growth indices.
Bitcoin failed to hold above a key resistance level and remains in a longer-term consolidation.
The U.S. Dollar continues to strengthen with an emerging weekly breakout.
Bonds remain weak while Treasury yields continue pushing higher.
Crude oil and the Energy sector remain among the market’s strongest areas.
Growth continues to lag Value, while Consumer Staples outperform Consumer Discretionary—evidence of ongoing defensive rotation.
Semiconductors remain in orderly consolidation after a powerful advance.
Software continues to deteriorate and remains one of the weakest major groups.
Financials continue to hold up well despite broader market weakness.
The Mag 7 remains under pressure, with several names threatening lower highs or renewed downtrends.
Market breadth remains healthier than the headline indices alone would suggest.
The current environment continues to reward patience, selectivity, and disciplined risk management over aggressive trading.
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.
