As of early August 2025, the S&P 500 index has been trading near all-time highs, but market breadth indicators show weakening underlying momentum. On August 5, advancers accounted for 49.7% of stocks, down from 80.4% earlier, with about half of the S&P 500 constituents falling below their 50-day simple moving average (SMA), despite the index itself remaining approximately 3% above that level. By August 7, advancers further declined to 44%, and only 46.7% of stocks were above their 20-day SMA, signaling a neutral breadth trend and suggesting the rally was losing steam. Technical indicators such as MACD breadth have been trending lower, and less than 60% of S&P 500 stocks were above their 200-day moving average as of August 9. Despite these signs of deteriorating breadth, the S&P 500 has maintained strength, with the Nasdaq 100 (NDX) making new highs and call-to-action traders holding maximum long positions in E-mini S&P and Nasdaq futures. Sector performance showed staples surging recently, which has been noted as a potential cautionary signal. Seasonal factors remain neutral to slightly negative, but momentum and options data for the Nasdaq suggest continued stability amid broader macroeconomic uncertainty.