The S&P 500 fell to a new 4-week low, indicating a secondary downtrend based on the Four-Week Rule. Despite typically strong December performance, interest rate cuts may be on hold through early 2026. The Index reached a low after hitting an all-time high, potentially marking a shift in market sentiment.

Technical analysis and algorithm-driven trading suggest continued stock selling. The Four-Week Rule remains a key indicator. Interest rate cuts may be postponed, affecting market dynamics. Despite a recent rally, the Index could face further challenges. Seasonal patterns predict a firming trend in December, but individual years may vary.

The Index’s recent low could signal a longer-term trend shift. A weekly close below a certain point would confirm this shift. Technical analysis methods, such as the Wilhelmi Element and Goldilocks Principle, support this assessment. Seasonal indexes show historical trends but may not predict future performance accurately.

Read more at Yahoo Finance: Is the S&P Technically Not Bullish Now?