Marina Lyubimova
The S&P 500 is showing continued short-term weakness after testing the upper boundary of its long-term rising channel. Another down day may follow, with price expected to move toward the channel midline support. SPX is currently trading near 6,624, pulling back from recent highs while remaining inside a well-defined bullish structure despite near-term pressure.
Technically, SPX continues to trade inside an ascending channel defined by upper resistance, a midline support zone, and a lower trend boundary. The current move lower is seen as a rotation toward the midline, with the possibility of an overshoot into high-volume areas below. This fits the broader pattern where pullbacks occur inside ongoing uptrends rather than signaling reversals.
The analysis flags a lack of strong support directly below current levels, which may allow price to accelerate toward lower liquidity zones. However, the broader trend remains intact, with higher highs and higher lows still visible on the chart. Historically, similar setups have led to temporary corrections before continuation, as seen in SPY pullback scenarios within broader rallies.
The overall outlook points to short-term downside acting as a reset within the larger uptrend rather than a structural break. A potential bounce zone is forming near key support, followed by a recovery later in the year. Broader market behavior continues to support this read, where corrections develop inside long-term bullish cycles and reinforce gradual trend continuation toward new highs.
Marina Lyubimova
