⬤ The S&P 500 ETF just broke below its January 20, 2026 low, putting it in correction territory. This breakdown suggests the market might pull back toward either the November or April 2025 lows. Right now, we're seeing a pullback within the larger price structure, not a full trend reversal yet.
⬤ This break shifts momentum in the short term and puts buyers on edge. The wave pattern on the chart shows a correction after a rally, meaning the market's likely adjusting within its bigger trend. The next move depends entirely on whether price holds above that November 2025 low.
⬤ If SPY stays above November 2025, there's still room for another leg higher. But if it drops below that level, we're looking at a deeper pullback. This price zone is basically the make-or-break point for direction.
⬤ How SPY reacts around these major lows will determine whether the market finds its footing or continues sliding within the broader cycle.
