U.S. stocks could be poised for a summer rally if historical trading patterns hold, according to Jay Woods, chief market strategist at Freedom Capital Markets. The S&P 500 slipped about 3% in June, with two trading days remaining. Woods noted that the index has risen in July each of the past eight years after a negative June, suggesting a seasonal tailwind. “We have rallied in July, so perhaps this is an encouraging sign, but we remain vigilant,” Woods said. He cautioned that technical indicators warrant close attention, noting a potential head‑and‑shoulders pattern that requires the index to reclaim and hold above its 50‑day moving average to sustain bullish momentum. If stocks retreat, investors should watch the May 5 gap‑up around 7,250, which he considers key support. .SPX YTD mountain S&P 500, YTD Investors will also focus on this week’s employment report. Woods added that a reading in line with expectations would keep markets centered on inflation and the Federal Reserve’s policy path without disrupting the recent rally. Woods also highlighted the following in the exclusive video: General Mills has fallen about 22% year‑to‑date and historically declines after earnings, with $34 as a potential buying level and $38 as overhead resistance; Constellation Brands trades between support near $137 and resistance around $160, and Nike needs to reclaim $42 to improve its technical picture.
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