In this week’s Markham Trading Market Update, Chief Trading Strategist Blane Markham takes a closer look at the continued weakness in the S&P 500 and what it may mean for traders in the weeks ahead.
Markets have remained under pressure following recent macro developments, including rising Treasury yields and continued signals from the Federal Reserve that interest rates may stay higher for longer.
As a result, the broader market trend has continued to shift lower.
Key Technical Levels to Watch
According to Markham, one of the most important developments right now is the S&P 500 struggling to reclaim its 20-day exponential moving average (EMA).
The 20-day EMA often acts as a short-term momentum indicator, and repeated failures at this level can signal that sellers remain in control.
At the same time, the market is now approaching a much more significant technical level:
The 200-day moving average.
This long-term indicator is widely watched by institutional traders and portfolio managers and often acts as a key support level during market corrections.
If the index breaks below this level, it could open the door to additional downside.
Rising Rates and Fed Pressure
Part of the pressure on equities continues to come from the macro environment.
With interest rates remaining elevated and the Federal Reserve maintaining a more hawkish stance, investors are adjusting expectations around liquidity and economic growth.
Higher yields can weigh on equity valuations, particularly in growth-oriented sectors.
That dynamic has contributed to the recent pullback in the broader market.
Opportunity in a Weak Market
While declining markets can make investors uneasy, Markham points out that traders can still find opportunities—especially on the short side.
Volatility often creates clearer technical setups, allowing disciplined traders to identify potential entry points when key levels break or momentum shifts.
Strategies designed to take advantage of both upside and downside moves can be particularly valuable during periods of market uncertainty.
Watch the Full Market Update
In the full update, Blane Markham walks through:
• The key technical levels developing in the S&P 500
• How rising interest rates are affecting market momentum
• Where traders may find opportunities in the current environment
👉 Watch the full market update to see the charts, levels, and setups he’s tracking right now.
Learn More
If you’d like to learn more about the Weekend Winners or ETA Trade Alert Service, or speak with a strategist about how these strategies work:
📞 800-883-0524
📞 737-292-4425
⚠️ Disclaimer: This content is for educational purposes only and should not be considered investment advice. Trading involves risk and is not suitable for all investors. Past performance is not indicative of future results.