Get 100% ad-free experienceMarket Momentum Still Intact but Charts Flash Early WarningsView all comments (0)0This week: monthly chart, technical check, VIX and credit spreads seasonality, awful Augusts, tech funds milestone, tech weights, electricity breakout, defensives.Learnings and Conclusions from this Week’s Charts:The S&P 500 closed up +2.2% for July (+7.8% YTD).(albeit it subsequently slipped -1.6% the first day of August).Volatility and Credit Spreads are seeing a seasonal upturn.Investors are skewing portfolios heavier and heavier into tech stocks.US electricity demand has broken out to a new all-time high.Overall, there does appear to be a shift in focus from rebound to risk as the recovery from the April low runs its course and seasonal headwinds begin to weigh. Short-term technicals look a bit tenuous, pressure points continue to build, but medium/longer-term trend indicators remain healthy. So let’s see what happens.1. Happy New Month! The S&P 500 closed +2.2% higher in July, placing it up +7.8% YTD (or 8.6% in total return terms); and ahead of the equal-weighted S&P 500 index (+0.9% in July, 4.7% YTD; 5.8% total return). July marked the 3rd month back above the 10-month moving average. All-in-all, it looks like a market in an uptrend.Source: Topdown Charts2. Asset Returns Table: US large-cap stocks managed 3rd place in the monthly returns table below, with Frontier Markets by far the standout. On the Year-To-Date stats, US large caps are about mid-table (global stocks still ahead as the great global rotation pushes on). Overall, it was a risk-on month with stocks up and bonds down.Source: Asset Class Returns - July 20253. Technical Check: After a decent July, August has seen an awful start to the new month with Friday wiping off a decent chunk of July’s gains already. From a technical standpoint, the constructive take is that we’re just back to short-term support, but the cautious take is that 50-day breadth is rolling over from overbought levels (and bearish divergence) —and the selloff might need to run a bit further to get things to oversold conditions.Original PostMarket Momentum Still Intact but Charts Flash Early WarningsView all comments (0)0Latest commentsInstall Our AppScan QR code to install appRisk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.© 2007-2025 - Fusion Media Limited. All Rights Reserved.