Chart of the day

SPY is testing the strong support 429. A bounce from here will lead to a test of 456 for the confirmation of an extension higher.

This is still viewed as the fourth wave pullback of the long-term five upside waves as long as it is above 416. If we get a confirmed break below 416 that would lead to an invalidation of the five waves upside and a reversal lower.

Long trades or options trades you can open here with a stop loss just below 420. We favor the long trade entries at this stage as we see strong support and a falling wedge that indicates bullish price action continuation.