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.
Most investors panic when stock markets fall. But this week’s data shows a pullback, not a breakdown. Understanding the difference is key to making confident decisions instead of simply reacting. While the FTSE 100 is consolidating, US indices are facing short-term pressure.
Let’s get into this week’s newsletter!
US & UK INDICES OVERVIEW
S&P 500
The S&P 500 is still in a long-term bull trend, but this week brought some short-term turbulence. Year-to-date, the index is up 7.86%, which tells us the bigger picture remains positive.
However, June has started on the back foot, with the monthly candle currently down 2.59%. This past week also closed down by 2.59%, and Friday contributed to that with a decline of 2.64%.
The key question now is where price finds its footing. There are two important support levels to watch. The first is the $7,000 round number, which also aligns with a significant price level from the chart.
The second is $6,945, which marks the 2025 high. These two levels sit close together and could provide a solid base if the index continues to pull back.
The all-time high, set on June 2, sits at $7,620. That is the level we want to see price return to and break above convincingly.
If the index can stabilize, bounce from support, and eventually push up through $7,620, that would confirm the bull trend is still very much intact.
The goal right now is to avoid a correction that cuts all the way down to the $7,000 psychological support area, though even if it does, that level has the potential to hold and act as a launchpad.
Patience is the word here. Strong trends correct. What matters is how price responds when it finds support.
Dow Jones
The Dow Jones 30 remains in a bullish long-term trend, though June has started with a slight pullback. Year-to-date growth stands at 5.84%, and the monthly candle is currently down just 0.32%.
That is a very modest decline compared to some of the other indices, which suggests the Dow is showing relative resilience.
Two important levels sit below current price. The $50,000 round number is the first, and it carries significant psychological weight. The second is $48,886, which was the 2025 high.
If the Dow does start to pull back further, these levels will be the ones to watch. As long as price holds above them, the structure of the trend remains intact.
Nasdaq 100
The Nasdaq 100 has pulled back after a strong run. Year-to-date, the index is still up a solid 14.68%, but June’s monthly candle is currently down 4.53%.
That is the largest monthly dip among the three US indices this week, which reflects how extended this index became after its strong May performance.
Earlier this month, price briefly moved above the $30,000 round number before pulling back. That level is now acting as resistance. The 2025 high at $26,182 is a key support level to watch on the downside if the correction continues.
The trend is still bullish in the bigger picture. But for now, the Nasdaq needs time to digest recent gains before the next meaningful move higher can take shape.
FTSE 100:
The FTSE 100 continues to test your patience, and that is not necessarily a bad thing. The long-term trend is still bullish, but the index has been in consolidation since February 27, 2026, now 66 trading days and counting.
Year-to-date growth sits at 4.4%, and the June monthly candle is currently down 0.4%. This past week also closed down by 0.4%. Friday, though, offered a small positive sign, with the session closing up by 0.07%.
Price is caught between two clear boundaries. Support sits at the 10,000 round number, with a further floor at 9,670, which marks the low of the consolidation zone formed through March 23rd. The resistance above is the all-time high at 10,934, set in February of this year.
Until one of those levels breaks, the FTSE is in a waiting game. A clean breakdown below 10,000 would signal weakness and the potential for a deeper move lower.
A break above 10,934, on the other hand, would confirm that the bull trend is continuing. Either way, clarity is coming. For now, the bias remains to the upside given the broader long-term trend.
PERFORMANCE REVIEW
Marriott International (MAR)
While the major indices have been pulling back, Marriott International has been quietly doing the opposite. That kind of strength in a correcting market is exactly the type of thing worth noting.
Year-to-date, Marriott is up 26.52%. The monthly candle for June is currently up 4.5%, and the weekly close is up 4.5% as well. Friday’s session closed up by 1.87%, with price now approaching the $400 level.
The trend here has not always been the cleanest. Historically, this stock has moved through consolidation phases and experienced deep corrections along the way. But it has consistently moved higher over time, and the current move is starting to take on a more structured character.
The $400 level is the one to watch as a near-term target. If Marriott can move through that level with conviction, it may signal that a more linear, sustained trend is developing. Right now, this stock is worth keeping on the watchlist, especially while the broader market takes a breather.
OUTPERFORMING ASSET FOR THE WATCHLIST
Royal Bank Of Canada (RY)
The Royal Bank of Canada is another stock that is holding its own while the broader market deals with some pressure. This analysis focuses on the NYSE-listed version of the stock.
Year-to-date growth stands at 13.81%, and June’s monthly candle is currently up 2.38%. This past week also closed up by 2.38%.
Friday pulled back slightly, closing down by 0.48% as a reversal candle, but that follows a strong run and is not unusual.
The context behind the current move matters here. The stock moved sideways from January 6, 2026, before breaking out on April 17, 2026, a consolidation period of over 70 trading days.
Since clearing that consolidation zone, the stock has risen by 10.21%. That is a meaningful gain off the back of a well-defined breakout.
The next significant level to watch is the $200 mark. Price is fast approaching that zone, and it may act as a psychological resistance level in the near term.
A clean break and close above $200, followed by a pullback and another push higher, would be the confirmation signal to look for. As long as the stock continues to form a pattern of higher highs and higher lows, the outlook remains bullish.
Looking Ahead
This week, the percentage of U.S. stocks trading above their 200-day moving average fell from 55% to 52%. This is expected during a market correction. As long as the market finds a base, holds key support levels, and gathers strength, we should see this percentage start to climb again.
Keep it simple. Keep it Sublime.
The ST Team
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