S&P 500’s rare pattern and weak breadth hint at fading momentum
Unusual technical formation on the S&P 500 alongside declining market breadth and an Elliott Wave count suggest the recent rally could be running out of steam.
SPX
A rare technical pattern has emerged on the S&P 500 chart, prompting caution as market internals fail to confirm the index’s latest upswing. The setup, highlighted by an Elliott Wave Principle count, points to a possible turning point.
Weakening breadth—fewer stocks participating in the advance—adds to the warning signs. The combination raises the likelihood that the recent rally may not be sustained.
Source: FXStreet Forex News