After a phase of uncertainty, the market is showing early signs of a weak bullish trend. Key indicators such as volume expansion on up days, improving breadth, and a stabilizing macro backdrop suggest a gradual shift in sentiment. While this movement lacks the momentum of a classic rally, the structure points to accumulation rather than distribution.
Highlights: • The S&P 500 is holding above key support zones. • Volatility is declining slowly, supporting risk appetite. • Sector rotation is favoring cyclicals and tech.
Outlook: Caution remains warranted due to thin participation and lack of confirmation from high-yield spreads and breadth thrusts. However, traders should prepare for potential upside if these signals strengthen in the coming sessions.