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.
This week, we’ll sort the signal from the noise, cutting through hype and zeroing in on the real opportunities taking shape right now.
Let’s get into this week’s newsletter!
US & UK INDICES OVERVIEW
S&P 500
The S&P 500 is delivering another chapter in its ongoing bull run. Year-to-date growth now stands at 8.08%, and May alone has added 2.63% so far.
We saw a significant period of consolidation stretching from October 29, 2025, which lasted 114 trading days, often a sign that a bigger move is brewing.
The recent breakout not only put an end to this sideways move but also set new record highs, confirming bullish momentum is continuing. The past week closed up 2.33%, and Friday finished strong with a gain of 0.84%.
Looking forward, the healthiest sign for trend followers will be a classic sequence of a move up, a pullback to shake out the noise, and then another bounce that breaks above a previous high.
If this unfolds, it’s a strong confirmation that the bull trend remains intact and higher targets may be on the horizon.
Dow Jones
The Dow Jones 30 is in a bullish long-term trend but is currently showing signs of losing momentum as May begins.
Year-to-date, the index is up 3.23%, but May’s candle is down slightly by 0.08%. We’re seeing a reversal candle so far this month, signaling hesitation after previous gains.
What matters now is whether the Dow can hold key support levels. If it does, the path is open for a new push higher and possibly fresh record highs.
Until then, this is one of those moments where sitting tight and letting the market show its hand is the most practical and prudent move for investors who want to avoid being caught in short-term noise.
Nasdaq 100
The Nasdaq 100 keeps setting the pace for tech-driven growth this season. The overall trend is firmly bullish, with May showing a large bullish candle that simply builds on the strong momentum carried over from April.
Year-to-date growth stands at 15.78%, and May alone is already up 6.49%. This is a clear signal that buyers are in control, and the index continues to build upon higher highs.
For practical next steps, the key milestone to watch is the $30,000 round number, a psychological target that could bring some resistance but, if broken, may open the door for an even stronger advance.
FTSE 100:
The FTSE 100 is in a classic consolidation phase, pausing after a long-term bullish run. Although the trend remains positive year-to-date, up 3.04%, May has seen a modest pullback so far, with the index down 1.4%.
Last week closed out with a loss of 1.26%, and Friday added a further small dip of 0.43%. What stands out is price resilience.
Even as indicators apply downward pressure and resistance remains stiff, a floor is developing around the 10,200 level, supported by back-to-back weekly lows.
The market has now spent 47 trading days moving sideways, long consolidations often precede meaningful breakouts.
PERFORMANCE REVIEW
Dell Technologies (DELL)
Dell Technologies is a textbook example of what breakout momentum looks like after a drawn-out consolidation.
The stock spent months bouncing between a consolidation low of $66 (April 2025) and a high of $179 (May 2024). After a failed attempt to break out in March, April finally brought a decisive close above that $179 level, unleashing pent-up momentum just as May kicked off.
Year-to-date, Dell is up an impressive 106.91%, with May alone already adding another 24.65%. This new leg higher is fueled by that long-awaited breakout, and as is often the case, the cleanest moves tend to follow when patience has been tested.
If you’re already in, this is a time to ride the trend but watch for signs of exhaustion after such a parabolic move.
If you’re on the sidelines, wait for a healthy pullback and see if the stock confirms support before chasing. For now, Dell’s price action is proof that consolidation and breakout cycles are still one of the market’s most rewarding patterns when approached with discipline.
OUTPERFORMING ASSET FOR THE WATCHLIST
Advanced Micro Devices (AMD)
This stock is a case study in why following structure and patience pays off for investors. The stock has maintained a strong long-term bull trend, but it hasn’t been a smooth ride.
Deep corrections have shaken out less disciplined investors more than once. In early 2026, AMD broke out above its previous high of $164, with January and February both pushing higher.
March brought a pullback, but April saw a monster bullish candle, the largest in AMD’s history, signaling strong buying conviction. May continues this surge, with another sizable candle taking shape.
For this week, AMD had a 26.25% gain, and Friday alone saw a remarkable close up by 11.44%.
Technically, once AMD broke above the critical $267 level on April 16, 2026, the stock didn’t look back, advancing further and even gapping up on May 5.
After a gap-up and series of sharp rallies, wait for a pullback to see if recent highs turn into reliable support.
If it sets up a clear continuation pattern, a move up, correction, and a new breakout, trend followers will have a new opportunity. For now, AMD exemplifies the kind of volatility and upside that rewards patience.
Looking Ahead
The percentage of U.S. stocks trading above their 200-day moving average increased from 55% to 56% this week. This number could rise further if the current market momentum continues through May.
Keep it simple. Keep it Sublime.
The ST Team
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