Weekly Stock Market Update & SPY Technical Analysis Major indexes like the Nasdaq 100 and the S&P 500 hit new all-time highs last week as traders celebrated a truce between Israel and Iran. The brief conflict is part of a decades-long regional struggle, but this case stands out because the U.S. was directly involved—striking Iran for the first time since 1988. President Trump declared that peace had been achieved following the strike, and markets quickly responded with optimism. That optimism, however, overshadowed several market red flags, which we are factoring into our strategy moving forward. These warning signs came from recent economic data, including a rise in inflation and weaker-than-expected GDP. Inflation increased by 2.3% year-over-year, slightly above the 2.2%...
Weekly Stock Market Update & SPY Technical Analysis The market has seemingly gone nowhere in the past few weeks as investors await further details about trade negotiations and updates from the Iran-Israel battle. Trade talks seem to have stalled, but the Trump administration is repeatedly assuring markets that things are moving along and July 9th remains an important deadline for many deals. The market is not necessarily even looking for the details of a trade deal, Wall Street is rather concerned with the uncertainty that the ongoing negotiations is bringing. Many stocks are beginning to show very "tight" price action—meaning their trading ranges are getting smaller—which often signals that a big move is on the horizon. Last Friday was a...
Weekly Market Update & SPY Technical Analysis Markets ended lower last week as tensions in the Middle East escalated, sending major indexes down and oil prices higher. Long sworn enemies Israel and Iran are bombarding one another with military strikes, and many predict that the U.S. is either already involved or will get involved, raising questions on whether or not the government can support another war. Trump’s promise to bring peace between Russia and Ukraine hasn’t exactly gone to plan, and now the Israel-Iran tensions will put even more pressure on the administration. How does war impact stocks? Markets have a history of shrugging off war news in a relatively short timeframe. The Ukraine-Russia war at its start caused a...
Weekly Market Update & SPY Technical Analysis The market recovery continued last week as stocks pushed higher in response to positive progress on trade talks with Europe and China. Markets also celebrated another relieving labor market report, which reflected a 4.2% reading of the U.S. unemployment rate. A strong labor market is essential to avoid further slipping into a slowdown in economic growth, especially during a time where recession fears are still brewing. One thing traders should note however, is that although the unemployment rate remained healthy at 4.2%, the U.S. economy only added 37,000 private payroll jobs in May, far below the 110,000 forecast. A continued trend of slow hiring could eventually boost unemployment, which will in-turn impact economic...
Weekly Stock Market Update & SPY Technical Analysis May turned out to be a strong month for the markets, as stocks rebounded from the sharp sell-off following Trump’s "Liberation Day" announcement. However, tariffs continue to weigh heavily on investor confidence as we enter a new month. Just moments after the market closed on Friday, Trump announced plans to double the existing 25% tariff on steel imports to 50%, reigniting fears of rising costs—especially in sectors like automotive and heavy machinery. Despite last week’s inflation data showing a drop to the lowest levels in years, many Americans remain concerned that tariffs will eventually drive prices higher. Experts have echoed these concerns in their recent forecasts. The economy has already felt the...
