SPY this morning gapped down breaking its upward momentum trend.
I am expecting SPY to start trading back inside its long term downward trend range. If SPY does stay inside original downward trend, this would make the recent rally we experienced a false breakout.
- Gapped back down into its long term downward trend range.
- Downward momentum has slowed.
- Formed a bullish shooting star candlestick.
- Now trying to confirm the bullish reversal by starting into an upward momentum in the current period
I am expecting SPY to start trading back inside its long term downward trend range. If SPY does stay inside original downward trend, this would make the recent rally we experienced a false breakout.