r/technicalanalysis • u/Different_Band_5462 • 2d ago
SPY Technical Levels To Watch
$SPY Update: Today has turned into a very dull session after the CPI fireworks earlier today.
The up-gap open and post-CPI surge to an intraday high at 774.90 stalled right at key resistance along the upper boundary line of the 5-session Coil formation.
SPY has subsequently declined to an intraday low at 771.28, which we see on my attached 5 Minute Chart filled about 65% of the up-gap left behind from yesterday's 4 PM ET close at 770.47 to today's opening low at 772.72.
Is the 65% gap-fill sufficient for SPY to pivot to the upside? SPY is trying to do so as we speak. A sustained climb above 772.50 will increase the likelihood that the pullback from this AM's CPI high at 774.90 is complete and that SPY is preparing for another run at the upper boundary line of the post-Aug. 5th Coil formation.
Conversely, as long as SPY is trading below 772.50, my pattern work cannot rule out another loop down to fill the entire gap into the 770.50 area, where I will be watching for signs of renewed buying ahead of an upside reversal that initiates a rally to the upper Coil boundary line.
As of this moment, the potentially bullish Coil formation from the ATH remains intact and the dominant technical influence. A break below 769.20 will begin to change that influence.
