SPX weekly chart
A strong gap higher at the open quickly turned into a day of disappointment for bulls. After surging nearly 50 points in early trading to hit 5860, sellers stepped in and methodically unwound those gains throughout the session. The late morning and early afternoon saw particularly steady selling pressure, though buyers did attempt to defend the 5820 level multiple times. A late-day drift lower saw the index ultimately close down just 2 points, a round trip that essentially erased virtually all of the day’s moves.
The weak close despite the strong open could be a warning sign for bulls heading into next week’s trading.
- S&P 500 flat
- NASDAQ Comp +0.6%
- Russell 2000 -0.5%
- Dow Jones Industrial Average -0.6%
On the week:
- S&P 500 -1.0%
- NASDAQ Comp +0.2%
- Russell 2000 -3.0%
This week’s decline in the S&P 500 breaks a six-week winning streak.
Next week is a huge one for the stock market with 5 of the Mag 7 reporting.