SPY Forming A Bearish Head and Shoulders PatternSPDR S&P 500 ETF TRUSTBATS:SPYQuantAi-TrendSPX Technical Update – Bearish Watch Chart Focus: S&P 500 Index (30-Min Chart) Date: July 21, 2025 🧠 Pattern Watch: Classic Head & Shoulders Formation A clear head and shoulders pattern has emerged on the short-term 30-minute chart, signaling a potential bearish reversal after the recent uptrend. Left Shoulder: Around 630.75 Head: Peaked near 633.00 Right Shoulder: Capped just under 631.00 Neckline: Sits near the 628.75–628.20 zone, marked by a yellow upward-sloping trendline and tested support. 📉 Bearish Breakdown in Play The price has now broken below the neckline zone at 628.75 with increasing volume — an early confirmation of a bearish break. The break beneath the rising wedge support and neckline suggests increased downside risk in the near term. 🧭 Technical Levels to Watch Key LevelTypeAction 633.00Resistance (Head)Likely capped unless strong reversal 631.00ResistanceRight shoulder, overhead rejection 628.75Neckline Support (Broken)Bearish trigger zone 628.20Intraday supportFinal support test (now resistance) 625.50Initial TargetBreakdown projection 622.75Lower SupportMeasured move target zone 📌 Measured Move Projection: A break of ~4.5 points from head to neckline projects a target near 624–625 in the near term. 📊 Volume Profile Note Volume expanded on the neckline break, supporting the validity of the pattern. Recent bars show a rise in selling pressure as bulls failed to reclaim above 630 after the breakdown. 🔍 Summary Outlook Bearish Bias: Valid while below 628.75 neckline resistance. Invalidation Zone: A sustained close above 631.00 would invalidate the bearish pattern. Watch for Retest: Any bounce into 628.75–629.25 could act as a retest and fade opportunity. 📆 Next Steps: Short-term traders should monitor price action around 625.50 and 622.75 as the most likely zones for support. Watch for further confirmation with broader index weakness or macro catalysts.