SPY Momentum Push: Key Levels for Scalping & Intraday Trading
SPY is showing strong bullish momentum on the 1-hour chart, with a significant rally and potential resistance forming near the $600 psychological level. The trend remains upward, but overbought conditions may lead to a brief consolidation or pullback.
Price Action Analysis:
Trend and Momentum:
SPY has been trending upward with a consistent series of higher highs and higher lows, maintaining support above the 21 EMA.
The current price is hovering just below $598-$600, a key resistance zone. A breakout here could lead to a test of all-time highs near $610.
Support and Resistance Levels:
Immediate Resistance: $598-$600. A decisive breakout above could trigger more buying, targeting the next resistance at $605-$610.
Support Levels:
First support at $583.27 aligns with previous consolidation zones.
Secondary support around $579.47, where the 50 EMA is likely to provide additional backing.
Key level to watch below is $567.89, acting as a strong demand zone if a deeper pullback occurs.
Volume and MACD Analysis:
Volume has been declining slightly as the price climbs, indicating a need for caution if a breakout above $600 does not come with increased volume.
MACD is showing signs of flattening, suggesting potential divergence, which could hint at a slowing momentum.
Scalping Opportunities:
Long Scalp Entry: Consider entering above $598 with a tight stop at $596, aiming for a breakout scalp targeting $605-$610.
Short Scalp Entry: If SPY fails to break $600 convincingly, a short scalp entry at $598 could target the $583 support level.
Swing Trade Ideas:
A strong breakout above $600 with volume could be a good swing entry, aiming for a move toward the $610 level.
If SPY fails to hold above $583, a bearish swing trade setup targeting $567-$568 support is a potential play.
Disclaimer:
This analysis is for educational purposes only and not financial advice. Always conduct your own due diligence before making trading decisions.
Price Action Analysis:
Trend and Momentum:
SPY has been trending upward with a consistent series of higher highs and higher lows, maintaining support above the 21 EMA.
The current price is hovering just below $598-$600, a key resistance zone. A breakout here could lead to a test of all-time highs near $610.
Support and Resistance Levels:
Immediate Resistance: $598-$600. A decisive breakout above could trigger more buying, targeting the next resistance at $605-$610.
Support Levels:
First support at $583.27 aligns with previous consolidation zones.
Secondary support around $579.47, where the 50 EMA is likely to provide additional backing.
Key level to watch below is $567.89, acting as a strong demand zone if a deeper pullback occurs.
Volume and MACD Analysis:
Volume has been declining slightly as the price climbs, indicating a need for caution if a breakout above $600 does not come with increased volume.
MACD is showing signs of flattening, suggesting potential divergence, which could hint at a slowing momentum.
Scalping Opportunities:
Long Scalp Entry: Consider entering above $598 with a tight stop at $596, aiming for a breakout scalp targeting $605-$610.
Short Scalp Entry: If SPY fails to break $600 convincingly, a short scalp entry at $598 could target the $583 support level.
Swing Trade Ideas:
A strong breakout above $600 with volume could be a good swing entry, aiming for a move toward the $610 level.
If SPY fails to hold above $583, a bearish swing trade setup targeting $567-$568 support is a potential play.
Disclaimer:
This analysis is for educational purposes only and not financial advice. Always conduct your own due diligence before making trading decisions.
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.