Market Brief: Technical Outlook and Moving Average Trends The broader market maintains a structurally positive outlook as major indices continue to trade above the **200-day Simple Moving Average (SMA)**. This long-term technical indicator remains the primary benchmark for distinguishing between a sustained bull market and a potential regime shift. As of late February 2026, approximately **67.2%** of S&P 500 constituents are holding above this level, confirming that despite recent bouts of volatility, the underlying uptrend for the majority of stocks remains intact. In the United States, the S&P 500 is currently positioned at **6,909.51**, staying comfortably above its 200-day average of **6,529.65**. While the index saw a minor retreat from its January peak of **6,977.26**, it recently reclaimed its **50-day SMA** of **6,896.08**. This crossover suggests that short-term selling pressure is stabilizing, allowing the longer-term upward momentum to reassert itself. Global markets are mirroring this technical resilience with varying degrees of strength. The Indian **Nifty 50** has recently rebounded to the **25,713** level, though it faces immediate resistance near its own moving average hurdles. Meanwhile, the **Hang Seng Index** in Hong Kong has shown signs of a minor bullish breakout, recently clearing its 20-day average to settle near **26,567**. Sector leadership is currently undergoing a notable rotation. While high-growth technology and AI-related names are testing key support levels, traditional sectors are providing the necessary ballast to keep indices above their long-term averages. Energy has emerged as a massive leader with gains of over **14%** recently, while Materials and Industrials have also posted solid single-digit returns. Market participants are closely watching the "Magnificent Seven" and other hyperscaler stocks. These heavyweights are currently trading near critical junctures. Analysts note that as long as these leaders do not decisively break below their 200-day averages, the risk of a systemic trend reversal remains low. Volatility, as measured by the **India VIX** and the **CBOE VIX**, has cooled to levels around **11.94** to **13.86**. This drop in the "fear gauge" typically supports a "buy on dips" environment, provided the price action remains above the long-term **200-day SMA** floor. Historical data suggests that maintaining this level often attracts institutional "dip-buying" from large-scale funds seeking to align with the primary trend.