Welcome 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.
Let’s get into this week’s newsletter!
US & UK INDICES OVERVIEW
S&P 500
The S&P 500 remains in a strong long-term uptrend with solid performance over the months. In July, the index is up 2.96% compared to the previous month and has gained 8.62% year-to-date. It continues to move higher, well above the 2024 high of $6,099, showing strong upward momentum. This past week closed with a 1.4% gain, reflected in a bullish candle.
Momentum has clearly picked up since the index broke out of its previous consolidation zone above the 2024 high of $6,099. Breakouts like this often lead to strong moves in the same direction, which we are seeing now. The index is forming a steady upward trend, with prices staying above key moving averages and showing little sign of pulling back since the breakout—indicating a strong bullish trend.
If a pullback happens, the first level of support would likely be around $6,273. If that level doesn’t hold, the next major support level would be the previous all-time high of $6,147, set on February 19, 2025. As long as momentum continues, year-to-date gains are expected to grow further.
Dow Jones
The Dow Jones is up 1.83% for July and 5.54% year-to-date. It is nearing its all-time high of $45,073, which was set in December 2024.
If the Dow Jones breaks above this key resistance level, the year-to-date gains are likely to increase. This would also put the Dow in line with the S&P 500 and Nasdaq, both of which are already reaching new record highs. A breakout in the Dow could trigger a strong bullish move in the U.S. market, which often leads to similar gains in the UK market as well.
Nasdaq 100
The Nasdaq 100 is up 2.62% so far in July, performing strongly alongside other major indices. Year-to-date, it has gained 10.76%, making it one of the top performers. The current upward trend shows no signs of slowing, and these gains could continue to grow if the momentum holds. Expectations remain bullish for the rest of the year.
FTSE 100:
The FTSE 100 is showing strong bullish momentum in July, currently up 4.1% for the month and 11.59% year-to-date. Price is now comfortably trading above the important 9,000 level, which had previously acted as resistance. If this momentum continues, further growth could be on the horizon as the bull market strengthens.
This past week, the FTSE 100 rose 1.44%, pushing above the 9,000 mark and closing above it for the week. This confirms that buyers are driving the market higher, and we anticipate this momentum to persist through the remainder of July. By the end of the month, a close above 9,000 would signal continued strength, with the next target being the major resistance level at 10,000.
The FTSE was stuck in consolidation from March 3, 2025, to July 10, 2025, lasting 89 trading days. It finally broke out above the consolidation high of 8,908, which was also the previous all-time high. However, Friday’s reversal candle suggests a possible pullback. If price does retrace, it could find support first at the 9,000 level and then at the previous high of 8,908.
PERFORMANCE REVIEW
BWX Technologies (BWXT)
BWX Technologies is showing a strong long-term bullish trend with solid recent performance. In July, the stock is up 2.71%, and year-to-date, it has gained an impressive 32.83%. It recently set new record highs and is now approaching the $150 level, which could act as psychological resistance.
Earlier, the stock dipped below a key support level at $136 (the 2024 high) but quickly recovered and surged to new highs. If the price can break above $150, further upside is likely.
Last week, the stock closed up 3.48%. After consolidating between $84 (support) and $136 (resistance) for 142 trading days since November 14, 2024, it finally broke out on June 12, 2025. Following the breakout, the stock retested the $136 level, now acting as support, and bounced back on July 11, 2025.
On Friday, the stock broke out of a smaller consolidation range, closing 2.79% higher and surpassing the $145 high. This confirms the continuation of the bullish trend. If $150 is cleared, we can expect further upward momentum. However, keep in mind the upcoming earnings release on August 4, which could bring increased volatility.
OUTPERFORMING ASSET FOR THE WATCHLIST
Palantir Technologies (PLTR)
Palantir Technologies has been performing strongly, showing solid momentum. In July, the stock rose 16.49%, reaching new record highs and comfortably breaking past the $150 mark. Year-to-date, it’s up an impressive 109.97%.
Last week, Palantir closed with a 3.36% gain. The stock has shown significant potential since breaking above its previous all-time high of $45, set in January 2021. After surpassing this level in November 2024, it has consistently made strong upward moves.
Now trading above $150, the next major resistance level is $200. Previously, the stock was stuck below $125 (a level formed on February 19, 2025) until it broke out on May 13, 2025. After consolidating around this area, it regained momentum on June 6, pushing even higher.
With earnings scheduled for August 4, some added volatility may occur. However, with its strong upward trend and momentum, the stock is expected to continue performing well.
Looking Ahead
Currently, 54% of U.S. stocks are trading above their 200-day moving average, up from 52.8% last week. While this is a small increase, the market outlook stays positive, with the Dow Jones nearing a breakout.
Keep it simple. Keep it Sublime.
The ST Team
P.S. Answer 21 rapid-fire questions about your investing approach and then as if by magic, we will give you recommendations that are right for you and you’ll unlock your FREE Bonuses that will improve your investing results over the next 3 to 5 years.
