Equity Index Technical Update：Damaged charts and end~of~cycle market signals

Investment Rating - The report indicates a bearish outlook for major equity indexes, particularly the S&P 500, NASDAQ 100, and Russell 2000, suggesting a potential shift towards a broader bear market [1][3][5]. Core Insights - The S&P 500 Index is showing low-frequency momentum divergence sell signals, which have historically identified late-cycle environments, particularly when yield curves are inverted [1][4][5]. - The NASDAQ 100 Index has broken key trend lines and shows little evidence of an upside reversal, with bearish momentum prevailing below specific resistance levels [1][8]. - The Russell 2000 Index has triggered a momentum divergence sell signal and is expected to test lower support levels in the late summer to early fall [1][10]. Summary by Sections S&P 500 Index - The S&P 500 is set to trigger low-frequency momentum divergence sell signals, indicating a late-cycle environment. Key resistance is at 5446-5449, with support levels at 5307 and 5226 [1][4][5]. - The bearish trend remains intact while below the 50-day moving average, with expectations of stabilization near lower support levels [1][5]. NASDAQ 100 Index - The NASDAQ 100 has rejected longer-term trend channels and achieved initial downside targets, but lacks evidence for an upside reversal. Key resistance is at 18725-18890, with longer-term support at 16444-17420 [1][8]. - The index is expected to face further downside pressure, particularly during the historically weak September-October period [1][8]. Russell 2000 Index - The Russell 2000 has seen a second rejection of its initial upside target zone, triggering a momentum divergence sell signal. Key support levels are at 1888-1898, with resistance at 2176-2186 [1][10]. - The index is anticipated to test lower support levels into the late summer and early fall, indicating a continuation of bearish price structure [1][10].