Chart of the day

SPY reached 520 and is being rejected by this strong upside resistance and also a long-term channel resistance line. This rejection can lead us to a pullback into 480 support and a previously broken strong resistance.

Only in the case of a break above 520, can we expect an upside continuation and an extension higher to test 550 possibly. There is a higher probability of the downside reversal than the extension upside as we have probably seen a finish of the Elliot Wave fifth waves upside short term.

_{You can open a short trade entry with a stop loss just above 515. Long trades you can open upon a confirmed break above 520.}