U.S. stock markets rebounded sharply on Monday, with the Dow Jones Industrial Average rising nearly 600 points, effectively erasing losses from the previous Friday. The S&P 500 ended a four-day losing streak, recovering approximately 75% of its Friday decline. The Nasdaq Composite also gained more than 1.6% by late trading. Despite recent weak job numbers, investor sentiment improved as dip buyers entered the market, contributing to the rally. However, market breadth remains narrow, with only around 150 stocks trading above their 200-day moving averages, indicating that gains are largely driven by mega-cap stocks. Analysts noted that the S&P 500 is approaching all-time highs but cautioned about potential volatility if market breadth deteriorates further. Technical analysis suggests the S&P 500 may continue its corrective rally, potentially retracing up to 78.6% of the recent decline before facing another downward leg targeting the 6050 level. A close above 6364 on the four-hour chart could signal a different trajectory. Overall, the market demonstrated resilience amid mixed economic data and remains under close watch for signs of broader participation or renewed weakness.