cover

SPY Trend Holding, Momentum Pausing: What’s Next?

September 02, 2025•1 min read

🔍 SPY Daily Analysis – Sept 2, 2025

Bulls made their move last week — but couldn’t seal the deal.

After pressing through short-term resistance on Wednesday, SPY extended the breakout into Thursday, with momentum building and the4h MFI tagging overbought. But Friday’s weaker-than-expected data hit the brakes hard. Buyers couldn’t hold the gains, and price closed back belowdaily resistance at 646.19.

This puts the market in a short-term decision zone.

As long as SPY holds above thesupport zone between 638.59 and 635.92, the broader structure remains bullish. But failure to quickly reclaim resistance may signal the need for adeeper consolidation phase— not a breakdown, but a pause to rebuild energy and attract new buyers.

📌What to Watch This Week:

  • A close above 646.19would confirm continuation toward the next fib target at 653.51

  • Failure to reclaim that levelquickly raises the probability of sideways action or a retest of the 50SMA

  • Momentum indicators are cooling but still in bullish alignment. No clear bear signal, just a stall

This is a classic digestion setup. The trend is still alive, but without a breakout soon, the market may need to breathe before the next move.


Back to Blog
FREE · EVERY SUNDAY
Get next Sunday's analysis, free.

Every Sunday I map out where SPY is, where it's likely headed, and the IF/THEN levels that decide it. In your inbox before Monday's open.

Free · Every Sunday · Unsubscribe anytime