Can the S&P500 stops its slide? Outlook for week of 07Apr25

Market Outlook of S&P500 - 07Apr25

FinViz Market Heat Map (05Apr2025)

S&P 500 chart as of 07Apr25

Observations:

• The MACD indicator has experienced a bottom crossover in a few days. This should form a “double bottom”. Typically, a “recovery” can happen after a double bottom.

• Moving Averages (MA). The MA50 line has started a downtrend, while the MA200 line is on an uptrend. This implies a downtrend in the mid-term and a bullish in the long term. We are seeing the setup of a Death Cross (when the MA50 line cuts the MA200 line from above). A death cross can be seen as a bearish indicator.

Death Cross Definition: How and When It Happens

• Candle. The last candle is below the MA50 and MA200 lines, implying a bearish outlook for the medium and long term.

• The three Exponential Moving Averages (EMA) lines are showing a downtrend.

• Chaikin’s Monetary Flow (CMF) is in the “downtrend zone” (below the 0 line).

• Let us monitor the magnitude of the rise and fall alongside the volume.

Based on the daily intervals, the technical indicators have a “Strong Sell” recommendation. There are 18 indicators showing a “Sell” rating versus 1 with a “Buy” rating. Here are the technical indicators and moving averages in summary.

The candlestick patterns suggest a “bearish” outlook in the coming weeks.

Given the above indicators and patterns, the S&P 500 is pointing to a “bearish” outlook.

@TigerStars

$S&P 500(.SPX)$

$SPDR S&P 500 ETF Trust(SPY)$

$Cboe Volatility Index(VIX)$