S&P 500 (SPY)

It will be a critical week for stocks after the two previous weeks of gains. The S&P 500 finished Friday in an exciting spot and at more than one inflection point. It could mark the start of a much bigger run higher to the mid-4600's, or the beginning of the next leg down, which will likely result in a new low.

This week, the S&P 500 traveled right back to the bottom of the rising megaphone pattern that started in the spring of 2021, which also connects with a horizontal line to the September highs. It looks like this could be a retest of significant resistance.

That closing price on the S&P 500 also hits the 61.8% retracement level from the January peak to the February Intraday low. That evidence is reason enough to consider that the rallies’ highs may be in and a reversal is here.

Nasdaq (QQQ)

It is also worth noting that the Nasdaq Composite flashed a hanging man pattern on Friday, which can be a bearish reversal candle.

High Yield ETF (HYG)

But more critically, a bond proxy like the HYG, which typically trades in correlation to the S&P 500, started to head lower again. That ETF finished the week down almost 1%.

Corporate Bonds (LQD)

The LQD ETF finished the week down more than 2%.

Real Rates (TIP)

The TIP ETF also fell by 1.4% this week. When this ETF falls, it is indicative of real rates rising. So it’s no wonder why the QQQ ETF has followed the TIP ETF so closely over the past year. The recent rally in the QQQ could have the Nasdaq playing catch up to falling real yields. But now that real yields are starting to rise again, that likely means the Nasdaq will need to reverse lower.

Amazon (AMZN)

Amazon couldn’t push beyond that $3,300 level I mentioned last week. On top of that, the long-term trend in the RSI is pretty negative. If Amazon turned lower at this point, it would not come as a surprise.

Acadia (ACAD)

It would be something if Acadia could clear resistance at $27 and push back to $30. I am hopeful this stock has finally turned the corner, and I think it is a big positive that the FDA is finally giving Nuplazid its chance in front of an Adcom panel for Alzheimer’s disease psychosis. It feels like a never-ending saga with Acadia, and maybe I’m getting my hopes up, but the chart is starting to look positive.

Freeport (FCX)

Higher copper prices could help keep Freeport moving higher, as the shares have the potential to climb back to $56.85, a price not seen since before the financial crisis.

Adobe (ADBE)

Meanwhile, Adobe flirts with support at $420; it would be great if this stock could flush lower already. It would probably set up a long-term buying opportunity if it could get back to or below that February 2020 level. That valuation would be right at or near its historical trends.