S&P 500: Finally, Something Bearish (Technical Analysis)

Andrew McElroy17.54K FollowersFollow5ShareSavePlay(8min)CommentsSummaryRed flags have been mounting, but there has been a lack of bearish confirmation in the price action.That may have changed this week as the weekly chart shifted slightly bearish. Tellingly, there was no recovery after positive CPI numbers.A close below 6764 should confirm the bearish shift and swiftly lead to 6550.The upcoming SCOTUS tariff ruling is a major catalyst, with limited upside and potential for market disappointment or volatility. asbe/iStock via Getty Images The red flags have been building for the S&P500 (SPY) for weeks, even months. Leaders in Tech (XLK) and the Mag 7 have lagged, while Staples (XLP) and Energy (This article was written byAndrew McElroy17.54K FollowersFollowAndrew McElroy is Chief Analyst at Matrixtrade, author of the ebook 'Fractal Market Mastery' and producer of the 'Daily Edge.' The 'Daily Edge' is emailed before each US session and outlines actionable ideas, directional bias, and important levels in the S&P500. It also looks at 'What's Hot,' on any particular day, whether it is commodities, stocks, crypto, or forex. Andrew has developed a top-down proprietary system that starts with his weekend Seeking Alpha article focusing on the higher timeframes. Fractals, Elliott Wave, and Demark exhaustion signals are all incorporated, as are macro drivers and analysis of the market narrative. It is much more than just a few lines on a chart - it is a system developed over 15 years and proven to deliver a consistent edge. An independent trader since 2009, Andrew manages a family portfolio of stocks and ETFs with his wife and fellow Seeking Alpha contributor Macrogirl.Analyst’s Disclosure: I/we have a beneficial long position in the shares of VOO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. I have reduced positions to small core holdings so that I am underweight and can hold through large corrections.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.