SPY Analysis for February 7th
Technical Overview:
1. Price Action: SPY has been consolidating near the $605 zone, with a slight bullish bias as it approaches key resistance levels.
2. Support Zones:
* $600 (psychological level and prior support).
* $595 (secondary support, aligned with PUT Support).
3. Resistance Levels:
* $610 (previous high and close to the second CALL Wall).
* $620 (highest positive NETGEX / Gamma Wall, strong resistance).
Indicator Insights:
* MACD: Slight bullish crossover but showing limited momentum.
* Stoch RSI: Climbing but nearing overbought territory, indicating potential pullback.
* Volume: Gradually increasing during the last sessions, suggesting accumulation.
GEX Analysis:
* Puts: 68.4% dominance, highlighting significant bearish sentiment.
* Calls: Reduced exposure; however, strong Gamma Wall at $620 indicates upside cap.
* Key Observations:
* The proximity to PUT Support around $595 indicates strong defensive positions from bears.
* A breakout above $610 could trigger rapid movement toward $615–$620 due to lighter gamma resistance in this range.
Trade Suggestions:
* Bullish Scenario:
* Entry: Above $610 with volume confirmation.
* Target: $615–$620.
* Stop Loss: Below $600.
* Bearish Scenario:
* Entry: Below $600, aiming for $595 or lower.
* Target: $590.
* Stop Loss: Above $605.
Disclaimer:
This analysis is for educational purposes only and should not be considered financial advice. Always perform your due diligence and manage risk accordingly before making trading decisions. Market conditions can change rapidly, so monitor updates and real-time data during the session.
1. Price Action: SPY has been consolidating near the $605 zone, with a slight bullish bias as it approaches key resistance levels.
2. Support Zones:
* $600 (psychological level and prior support).
* $595 (secondary support, aligned with PUT Support).
3. Resistance Levels:
* $610 (previous high and close to the second CALL Wall).
* $620 (highest positive NETGEX / Gamma Wall, strong resistance).
Indicator Insights:
* MACD: Slight bullish crossover but showing limited momentum.
* Stoch RSI: Climbing but nearing overbought territory, indicating potential pullback.
* Volume: Gradually increasing during the last sessions, suggesting accumulation.
GEX Analysis:
* Puts: 68.4% dominance, highlighting significant bearish sentiment.
* Calls: Reduced exposure; however, strong Gamma Wall at $620 indicates upside cap.
* Key Observations:
* The proximity to PUT Support around $595 indicates strong defensive positions from bears.
* A breakout above $610 could trigger rapid movement toward $615–$620 due to lighter gamma resistance in this range.
Trade Suggestions:
* Bullish Scenario:
* Entry: Above $610 with volume confirmation.
* Target: $615–$620.
* Stop Loss: Below $600.
* Bearish Scenario:
* Entry: Below $600, aiming for $595 or lower.
* Target: $590.
* Stop Loss: Above $605.
Disclaimer:
This analysis is for educational purposes only and should not be considered financial advice. Always perform your due diligence and manage risk accordingly before making trading decisions. Market conditions can change rapidly, so monitor updates and real-time data during the session.
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.
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.