State of Standard and Poors

After the correction that occured in the markets beginning at the start of February, the S and P 500 began forming a wedge, since then this first wedge was broken around mid-May. This, in my opinion, was not enough to break us into a new up trend. The sideways trading of the S and P will continue at least until mid-July. As of this month, SPY charts on both daily and weekly timeframes have started to form yet another wedge, with a strong long-term support trendline. Currently, the market is being up-lifted by Tech and Consumer Discretionary names while industries such as financials, industrials and utilities drag the overall market down. We will continue to see industrials, utilities and materials decline as they are a large target of Chinese retaliatory tariffs. With increasing political tension I believe that SPY will stay in this range.