S&P 500 Index
Short
Updated

S&P 500 Bearish Pennant Signals Potential Downside Move

471
The S&P 500 Index (SPX) is forming a bearish pennant pattern on the 30-minute chart, suggesting possible continuation of the recent downtrend. Price action is consolidating within converging trendlines after a sharp drop, with a breakdown below support near 6,360 potentially opening the door to further declines toward the 6,300 level. Traders should watch for confirmation with increased selling volume.
Pattern Structure: Price has made a steep drop, then entered a short consolidation bounded by converging trendlines (lower highs and higher lows).

Bias: This setup often signals a continuation of the prior trend — in this case, downward.

Trigger Level: A decisive break below the pennant’s lower support (around 6,360) could confirm the bearish signal.

Target Zone: If the breakdown occurs, the measured move could aim toward the 6,300–6,280 range, matching the height of the prior drop.

Risk Factor: A false breakout is possible, especially if broader market sentiment shifts bullish suddenly.


In short: The chart suggests sellers remain in control, and the next move hinges on whether support at ~6,360 holds or breaks.
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