$SPY hold of $580-588 region sets up long to $614-630
SPY looks like it's formed a low for the short term when it failed the H&S pattern. From here, I think it's likely that we fall back into the $580-588 to scare everyone into thinking there's more downside, but if that region holds, it'll set up a trigger long all the way up to the $614-$630 region.
I think the move higher should play out by mid-February (again if that $580-588 region holds). If it fails, then we're looking back down at the lower support level $545.
If we do end up going higher, I think that $630 region will be the short term top and it'll set up a move down to $545 before we move higher.
Note
Think it's more likely that we see a decline to $598 this week and then likely retest the highs. Further down next week.Note
Welp start of a decline into close. Part of me wonders whether we hold at $580-588 or if we test $545 first before going to $630. Let's see.
As of now, I'm thinking decline into next week. Bounce into Feb 14, then position short into mid-late march.
Let's see as price action unfolds.
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