SPDR S&P 500 ETF TRUST
Updated

SPY developing triangle

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Developing triangle on SPY. The context doesn't provide much clue which direction it will resolve. We have clear trend reversal signs on daily chart (Lower high is set) but weekly consolidation has not yet started so there is still opporunity for bulls to set daily higher low. Adding to bearish side is slightly unfilled gap from Tuesday. But this is very minor sign.
I'm not inclined to develop any directional bias at this stage. You can still trade triangle but with caution.
Note
It is also worth mentioning that market is waiting for FOMC meeting.
Note
Triangle broke bearish with not much follow through. Bulls regained control, setting
daily higher low on futures chart

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