Our scoring of all the stocks in the S&P 1500 continues to find the majority of the constituents 71% with a weak model score and the S&P near the upper end of its trading range. The last time the percentage of the S&P 1500 had this many weak-scoring stocks was at the October 2022 low with a reading of 75%. This illustrated the narrowness of the advance.
Not much is new as the major indices remain in a trading range, with some, such as the S&P and Dow Industrials, int a resistance zone.
A number of the indices reviewed remain within a trading range, which frustrates most investors.
The S&P 500 has rallied back to the upper end of its trading range, where we believe it will fail and reverse back down.
The S&P 500 remains within a trading range, and we believe it will eventually break lower
We find the S&P 500 and Russell 2000 stuck in a trading range that will eventually get resolved one way or the other. The bottom-up ranking of the S&P 1500 scores 67% of the constituents with a weak score based on absolute and relative weekly trends.
Many of the indices reviewed are about in the same zone as they have been since early January. The bear market rally appears to be losing upside momentum, and we are looking for a close below the 40-week moving average as a signal that the next leg lower has started.
We are highlighting the S&P and NDX as two important indices that have reversed from MOB target and resistance zones and have a weakening of momentum.
We find the following indices stalled and some turning down from resistance and MOB target bands; S&P 500, NDX, Nasdaq Composite, and Russell 2000.
There are some near-term positives where the S&P 500, NDX, and Nasdaq Composite have closed above the upper end of their channel resistance lines. What we don’t have is the 40-week averages turning back up to signal a positive shift in momentum.
A quick snapshot of a basket of indices that look to us at important resistance zones.
Most of the major averages we review remain in their well-defined down trending channels, with the exception of the Russell 2000, which just broke above its channel resistance.
Not much new as we reviewed the equity indices we report, so we are just updated a basket of charts
The playbook remains the same as the major market indices in a well-defined downtrend.