Welcome back to our weekly newsletter where we provide an overview of the main US and UK indices, along with analyses of selected assets that are outperforming the market.

As we transition from April into May, the markets are showing some incredible momentum. We just saw a month of historic breakouts, with major indices pushing past long-standing resistance levels. Let’s break down exactly how the major indices and a few standout stocks performed so you can position your portfolio for success in the weeks ahead. 

Let’s get into this week’s newsletter!

US & UK INDICES OVERVIEW

S&P 500

April was a turning point for the S&P 500, with the index surging 10.39% for the month and driving year-to-date growth up to 5.62%.

The index had a decisive breakout. After several failed attempts, the S&P 500 finally broke and closed above the 2025 high of $6945, pushing right through the $7000 round number.

That old ceiling is now serving as a crucial support. Over the last week, the index added 0.91%, highlighting steady progress, while Friday ended with a modest gain of 0.29%.

As we step into May, the S&P is already showing early strength, up another 0.29%. The next big question is whether the index can maintain this pattern of higher highs and higher low.

As long as buyers step in when the market pulls back to support, the structure favors continued upside.

Look for pullbacks to find support at key price levels (especially around the $7000 mark). If the price holds, it could confirm that the upward trend is likely to continue.

Dow Jones

The Dow Jones 30 isn’t moving at breakneck speed, but it’s building a solid base for future gains.

Year-to-date, the index is up 2.99%. April was a big month, delivering a 6.98% surge and finally closing above its key 2025 high at $48,886, a threshold that had held the Dow back for months.

While May has opened with a minor pullback of 0.31%, it’s early, and that alone isn’t enough to shift the broader structure.

The real milestone ahead is the all-time high at $50,512 from February 2026, which now stands as the next major resistance.

A close above that level would open the door for a more convincing bull run. Until that breakout happens, expect some consolidation and watch how price behaves if it pulls back toward the $48,886 support.

Nasdaq 100

April was a runaway month for the Nasdaq 100, closing up an eye-catching 15.55% and creating new all-time highs.

This move put the index well above the 2025 high of $26,182 and brought its year-to-date gain to 9.74%, the strongest among the major US indices.

May is starting on the front foot, with the Nasdaq already up 0.94% after just one session. More importantly, the index has made a clean break from its prior resistance, and that former $26,182 ceiling is now a significant area of support.

The next big target for bulls is the $30,000 round number, which now stands out as the next psychological resistance.

As with other momentum markets, watch for the interplay of corrections and rebounds, each successful pullback that holds above old highs reinforces the structure for further upside.

If we continue to see patterns of higher highs and higher lows, especially as buyers step in after healthy corrections, the case for a sustained bull run only strengthens from here. 

FTSE 100: 

The FTSE 100 offered a quieter close to April compared to the US markets, but the structure beneath the surface is telling.

Year-to-date, the index has gained 4.36%, and April finished up 1.93%. That said, May has started off slightly on the back foot, down just 0.14% after the first session.

The FTSE 100 dipped 0.15% last week, closing Friday down 0.14%. Currently, the price is stuck between strong support at the March low of 9,670 and resistance at its all-time high of 10,934, set in February 2026.

The price is currently consolidating. The previous all-time high is acting as a major resistance level, while the 9,670 area has provided reliable support during recent dips.

Going forward, the next target for bullish continuation is a breakout and close above that 10,934 high, which would signal the start of a new upward trend.

Until then, watch how the price behaves around these key levels. A strong bounce from the support level or a clear break above the resistance level will signal that the index is ready to move higher.

PERFORMANCE REVIEW

Alphabet Google (GOOGL)

Alphabet came out swinging in April, closing the month with big gains. The stock added 33.84% in April alone, pushing its year-to-date growth to 23.22%.

That big move was backed up by strong weekly momentum as last week delivered an 11.99% rise.

On the first trading day of May, the stock continued its stride, closing the day up 0.23%, and that’s exactly where the stock stands for the month so far.

April’s breakout didn’t just vault Alphabet above prior resistance, it turned those old ceilings into firm support.

As we step into May, Google’s price action is holding just above the April high and the newly set support zone. The near-term test is whether this support will hold on any short-term corrections, especially after the recent gap up.

If the price drops to fill the recent gap, and then buyers cause it to rally to a new high, this would confirm the structure for another upward move.

Looking ahead, the next key target is simply to defend that April breakout zone and re-establish higher highs.

As long as Alphabet stays above its breakout support and maintains a pattern of constructive pullbacks and rebounds, the evidence is stacked in favor of an ongoing bullish trend.

New record highs may just be the beginning; a continuation of strong weeks could quickly propel the stock toward fresh all-time highs this quarter.

OUTPERFORMING ASSET FOR THE WATCHLIST

Cboe Global Markets (CBOE)

Cboe Global Markets has quietly built one of the strongest technical structures among growth stocks this year.

Year-to-date, it’s up 30.26%, a testament to both long-term momentum and the power of steady compounding.

April provided another leg higher with a 6.71% gain, but May has already begun to outshine the prior month.

The first trading day saw the stock rocket higher, opening up 4.92% and closing Friday up 8.95%. That capped off a weekly gain of 7.62%, driven largely by the impact of a positive earnings release.

The stock gapped up sharply on earnings, creating a new all-time high in the process. Whenever you see this type of surge, two possible scenarios tend to play out. The first is a pullback to fill the gap, often a healthy reset before another move higher.

The second is a shallow correction, followed by a clean break above the gap high. Either way, the crucial support to watch is the gap’s lower boundary and any former resistance levels, which turn into support.

Looking forward, as long as the price maintains its pattern of higher highs and higher lows, the path of least resistance remains up.

If buyers keep buying during price drops, especially near support levels, the price will likely move higher. The next target would be the high from the previous week.

Strong continued growth and momentum make Cboe Global Markets a name worth watching closely as we move deeper into Q2.

Looking Ahead

The percentage of U.S. stocks trading above their 200-day moving average remained unchanged from last week at 55%. This figure is expected to rise if the current market momentum continues through May.

Keep it simple. Keep it Sublime.

The ST Team

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