Although my primary bounce target was exceeded, the SPY still has a ton of overhead supply (resistance) to content with & is still well below the 50% Fibonacci retracement level of the initial move lower from the Jan 15th top. Counter-trend bounces typically terminate by the 61.8% retracement level with the 38.2%, 50% & 61.8% retracements being common reversal points and so there’s still plenty of upside left before the longer-term bearish scenario is negated.
- SPY 5 minute Feb 7th
- SPY 2 hour Feb 7th