The S&P 500 closed at 5767.57, surpassing its 200-day moving average of 5752.23, amid a recovery in the 'Magnificent 7' mega-cap tech stocks. These companies, which include Apple, Microsoft, Nvidia, Alphabet, Amazon, Tesla, and Meta, have struggled in recent months but showed signs of stabilization heading into the next earnings season. Morgan Stanley's Mike Wilson attributes the rebound to factors such as improved sentiment, favorable seasonal trends, and declining U.S. Treasury yields. He also highlights that the 'Magnificent 7' earnings revisions are stabilizing, which could support their performance in the near term. Nvidia stands out with a 48% potential upside, while Amazon benefits from its strong cloud business. Despite the recent recovery, analysts remain cautious about market volatility. The S&P 500 is trading in a gamma-suppressed range between 5600 and 5750, with a GammaFlip level at 5849 and a CallGamma/PutGamma Ratio of 0.58. Tesla, which has seen a 50% drop, reflects broader challenges in the sector, but analysts note potential for further gains if key levels are broken.