Chart of the Day - Friday, February 21, 2025

Patrick Dunuwila
March 21, 2025

Chart of the Day


🏆 Today's Chart of the Day was shared by Yuriy Matso (@yuriymatso). 
 

  • The S&P 500 ended a choppy week with a modest gain of +0.5%, snapping a four-week losing streak and avoiding what would have been its longest weekly downturn since 2022.
     
  • Despite this week's bounce, $SPX closed below its 200-day moving average for the second week. The index previously closed below its 200-DMA for two straight weeks in March 2023 and October 2023.
     
  • After the most recent shakeout in October 2023, $SPX rallied for nine consecutive weeks, marking its longest weekly advance in two decades. History isn't obligated to repeat, but shakeouts can be explosive.
     

The Takeaway: Despite snapping a four-week losing streak, $SPX closed below its 200-DMA for the second straight week. Spending a third week below its 200-DMA would be a bearish change of character, but reclaiming it would be the first step toward a sustainable rebound.

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