SP500 – Weekly Analysis
The S&P 500 closed Friday with a red candle. Is this the start of something bigger—or just market noise?
In this update, we break down the index, key sectors, and how major U.S. indices are aligning—through the lens of our specialized methodology.
This in-depth report is available exclusively to our subscribers. A must-read for anyone tracking what could unfold next.
Candles
TThe S&P 500 closed the weekly, 8D, and 15D frames with solid bullish continuation candles, signaling a high probability of a continued rally in the coming weeks or longer. While the daily formed a potential Meeting Lines pattern, it would require a series of strong confirmations to override the bullish momentum on the larger frames. For now, the daily stands neutral, with the mid- and long-term outlooks firmly bullish.
Key sectors—Technology, Financials, Industrials, Utilities, Staples, and Discretionary—all ended the week with bullish candles. With over 70% of the market pointing to higher prices, the broader momentum remains clearly tilted to the upside.
All major U.S. indices are broadly aligned with this bullish view following a strong 15D candle delivery. That said, it’s worth noting that the Dow Jones and Russell 15D candles appear slightly weaker than those of the S&P 500 and Nasdaq. A likely reason could be emerging weakness in the oil sector, which may impact the pace of growth for the DJIA.
ELLIOTT WAVES
At this point, the green count remains the primary scenario. The index is likely forming wave v of 3, with bullish momentum and technicals continuing to support the structure.
SUMMARY
The S&P 500—and the broader market—continues to exhibit strong bullish momentum, which was further confirmed across multiple mid- and large-time frames on Friday. While the daily frame showed moderate weakness, likely a shallow pullback, the prevailing trends remain firmly bullish. Technical indicators continue to reinforce this strength and provide solid underlying support.
From an Elliott Wave perspective, SPX is likely progressing through wave 3 of a larger impulsive structure. The sustained momentum and structural development suggest a strong possibility for wave 3 to extend further over the coming weeks, potentially even months.
With key sectors such as Technology, Financials, and Industrials leading the charge, all four major U.S. indices are now aligned with a long-term bullish configuration. The broader market structure remains technically sound—unless and until new signals emerge to challenge this view.
Happy Trading!
