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.
Note: The audio is a bit muffled due having the wrong microphone selected. 🤦♂️
You should be able to hear fine. Its just not quite as clear as usual.
Another week of consolidation, but not much evidence of meaningful deterioration beneath the surface.
The most interesting developments this week were continued strength in semiconductors, a breakout in biotech, weakness in commodities, and broad market indices continuing to hold near highs despite plenty of headline noise.
Enjoy the long weekend. The charts will still be here next week.
The primary trend remains higher. Markets appear to be consolidating recent gains through time rather than price, while leadership and participation remain healthy enough to keep the benefit of the doubt with the bulls.
Major indices remain in healthy uptrends despite several weeks of choppy consolidation.
SPY, QQQ, DIA, and IWM all continue to hold above key longer-term moving averages.
QQQ, DIA, and IWM posted new weekly closing highs.
Volatility continues to contract as markets absorb recent headline risk.
Dollar strength is improving while commodities and energy have begun to cool.
Bitcoin remains in a bearish configuration below declining moving averages.
China (FXI) suffered a significant breakdown and remains one of the weakest global markets.
Biotech (XBI) delivered a notable breakout and continues to emerge as a leadership group.
Semiconductors remain exceptionally strong despite extended conditions.
Software and several mega-cap technology names continue to lag.
Financials attempted a breakout but gave back much of the week’s gains late in the week.
Market breadth remains healthy with no meaningful deterioration in participation.
Roadmap charts continue to show consolidation rather than distribution.
Current evidence favors either:
A gradual grind higher, or
Additional sideways consolidation
At present, a major correction appears less likely than continued digestion of prior gains.
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.
