SPY Stock Technical Analysis

SPY Stock Technical Analysis

SPY Stock Technical Analysis: Check out the latest technical analysis for SPY stock and the latest trade recommendation.

SPY(SPDR) closed in red on the last trading day. The stock remains bearish. Let us understand the SPY stock’s outlook for the next trading using several technical indicators.

SPY Stock Technical Analysis (Moving Average)

SPY has been well above the 50-day moving average (red line) for some time but with the market experiencing a bearish momentum SPY stock price is retreating and now it has converged with the 50-day MA which is moving in the upward direction.

In the below chart, two interesting events can be noticed. First, the 50-day and the 200-day Moving average formed a Golden Cross but the price line is on the verge of forming a Death Cross with the 50-day moving average line. This is a bearish scenario and SPY stock price is set to retreat on the next trading day.

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Currently, the first level of support for SPY is at $391.87 and the price at $407 will serve as the first level of resistance. If SPY goes below the first support level we may see SPY stock testing $356 support level.

SPY Stock Technical Analysis Using Bollinger Bands

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The Bollinger bands for the SPY stock show that SPY is highly volatile. SPY is moving towards the lower Bollinger Band. We may see a reversal once the price tests the lower band. However, the gain may be marginal and the SPY share price may retreat once again to test the lower Bollinger band once again.

SPY Stock Forecast and Technical Analysis (RSI and Momentum Oscillator)

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The RSI for SPY is at 43.4 and it is following a downward trend. The price of SPY stock is set to fall further before it enters the oversold territory. The current downside of RSI indicates that SPY stock is highly bearish and the sellers are set to pull the stock further lower.

The momentum indicator for SPY is below 0 which is completely in the negative zone. The momentum indicator is throwing a Sell signal.

SPY Stock Technical Analysis: Conclusion

Overall the price of SPY will see a bearish run. On the next trading day, the SPY stock price could go below $390. Our overall recommendation is Sell and the overall momentum is Bearish.

**The following analysis is for educational purposes only. Please do your own research before making any investment decisions.**

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SPY Technical Analysis