$SPY: Breakout/drop to $395? Broadening formation's fate hangs
Tomorrow morning, we'll be receiving GDP data and jobless claims, which could have a significant impact on the market. Currently, $SPY is at a crucial point on the daily chart, nearing the upper limit of its broadening formation. It's showing positive trends on the daily, weekly, monthly, and quarterly charts. Keep in mind that the month and quarter will close on Friday, along with the release of PCE data.
GDP results are expected to come in flat tomorrow morning, while the jobless claims at 8:30 am could potentially offset the GDP figures.
If the data leans bullish, $SPY has the potential to break through the $405 price level and run like a bat outta hell. On the other hand, if the data comes in bearish, we may see a retest of the $398 level, followed by a potential drop to close the bullish gap at the $395.7 price level.
GDP results are expected to come in flat tomorrow morning, while the jobless claims at 8:30 am could potentially offset the GDP figures.
If the data leans bullish, $SPY has the potential to break through the $405 price level and run like a bat outta hell. On the other hand, if the data comes in bearish, we may see a retest of the $398 level, followed by a potential drop to close the bullish gap at the $395.7 price level.
Tracking chart Setups like meteorologist track Storms.