SPY is pressing into a descending trendline while holding the 760 area, which creates two competing setups.
The bullish case is compression: price keeps holding support while pressure builds underneath the trendline. A clean break and acceptance above the trendline would open the door back toward 766.32, with 772.64 above that.
The bearish case is the one I’m watching more closely: three repeated failures to regain higher prices, followed by another rejection and continuation lower. If 760 gives way and price cannot reclaim it, the downside path I’m watching is 755.27 → 750.85 → 747.28.
My current lean is for another leg down, but the market is at a decision point. I’m not interested in predicting the breakout. I want price to confirm whether this is true bullish compression or simply another failed attempt within a larger bearish structure.
The bullish case is compression: price keeps holding support while pressure builds underneath the trendline. A clean break and acceptance above the trendline would open the door back toward 766.32, with 772.64 above that.
The bearish case is the one I’m watching more closely: three repeated failures to regain higher prices, followed by another rejection and continuation lower. If 760 gives way and price cannot reclaim it, the downside path I’m watching is 755.27 → 750.85 → 747.28.
My current lean is for another leg down, but the market is at a decision point. I’m not interested in predicting the breakout. I want price to confirm whether this is true bullish compression or simply another failed attempt within a larger bearish structure.
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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.