— date: ‘2025-07-11’ title: Decreasing Momentum
After reaching extreme levels above 35, the S&P 500 Indicator has begun to decline over the past week. While the indicator remains in green territory for now—signaling that the weekly uptrend is still intact—both the daily S&P Indicator and recent price action suggest that further deterioration is possible, with a risk of slipping into red. Much, however, will depend on the upcoming earnings season. In addition, further weakness in the labor market is increasingly being viewed as an early warning sign that a recession may be looming.