📅 SPY Daily Overview – Week of July 15, 2025

After a powerful breakout and strong multi-week rally, SPY shifted into consolidation last week, forming a new bull flag pattern just beneath daily resistance at 626.28.

Thursday’s attempt to break higher failed, and Friday’s pullback created a bearish divergence on RSI—not a reversal signal on its own, but a valid early warning that the recent stretch of higher prices may need time to digest.

🔎 Structure and Trend Overview

• New daily bull flag structure formed.

• Support now clearly defined at 613.23 and 605.06—former resistance levels turned key reference zones.

• SMAs remain bullishly aligned and rising, but price is extended above the 50, suggesting a pullback would be technically healthy.

🎯 What Comes Next?

We’re entering that calm-before-the-move phase. With structure defined and trend intact, we’re watching closely for one of a few outcomes:

1. Breakout Above 626.28
   Clears the bull flag to the upside and opens the door toward the next price target at 635.63.

2. Pullback to Support Zone
   A retest of 613–605 that attracts fresh buyers and sets the base for a stronger leg higher.

3. Deeper Retracement Toward Daily SMAs
   If the support zone fails, we may see a steeper short-term move that either sets up:

   • A new bullish structure from lower levels, or

   • A bear flag that targets the rising SMAs.

🧠 Daily Takeaway

This isn’t a reversal. It’s a pause. A consolidation phase forming just above prior highs—a textbook technical pattern after an aggressive move.

Now it’s about letting structure play out.

If the trend holds and support confirms, this is just another setup on the path toward the 635 area.

If we break support, we zoom out and adjust. Either way, discipline and structure over prediction remains the name of the game.