As of early May, SPY consolidates around $560–$570, testing former support-turned-resistance.
On the daily chart, the market is pausing after a rapid rally, with $610 as major resistance and $540–$485 as key support. The 1-hour chart reflects a solid uptrend with recent consolidation between $555–$568, while the 15-minute chart shows intraday weakness with critical support at $560.
Three trading strategies emerge: (1) Bullish breakout, buying above $564–$568 with targets up to $580;
(2) Bearish breakdown, shorting below $560 with downside to $545; and
(3) Range trading, buying/selling within $558–$568 using tight stops. Confirmation via volume and candlestick patterns (e.g., engulfing or hammer) is essential.
Short-term bias is bullish, but with caution—if SPY holds $560, it could retest $570 or break higher. A drop below $556 invalidates the bullish outlook.
On the daily chart, the market is pausing after a rapid rally, with $610 as major resistance and $540–$485 as key support. The 1-hour chart reflects a solid uptrend with recent consolidation between $555–$568, while the 15-minute chart shows intraday weakness with critical support at $560.
Three trading strategies emerge: (1) Bullish breakout, buying above $564–$568 with targets up to $580;
(2) Bearish breakdown, shorting below $560 with downside to $545; and
(3) Range trading, buying/selling within $558–$568 using tight stops. Confirmation via volume and candlestick patterns (e.g., engulfing or hammer) is essential.
Short-term bias is bullish, but with caution—if SPY holds $560, it could retest $570 or break higher. A drop below $556 invalidates the bullish outlook.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.