SPY Eyeing $600: Scalping & Swing Trade Plan for Monday Nov. 25

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SPY (S&P 500 ETF) is trading within a well-defined ascending channel, showing bullish momentum as it approaches the critical psychological resistance at $600. With increasing volume and higher lows, the ETF presents actionable opportunities for both scalping and swing trading setups. Below is a structured trading plan with key technical levels, liquidity zones, and entry/exit points.

Market Structure:
1. Trend Analysis: SPY remains in an uptrend, forming consistent higher highs (HH) and higher lows (HL). The price is moving within an ascending wedge, indicating a potential breakout or pullback.
2. EMA Signals: The 9 EMA is holding above the 21 EMA on the hourly chart, confirming bullish momentum.
3. Volume: Rising volume near resistance suggests increasing buyer interest, but a breakout requires further confirmation.

Key Levels:
* Resistance: $596.75, $600, $602.00.
* Support: $592.26, $584.63, $581.91.

Liquidity Zones:
* Demand Zone (Support): $592.00–$593.00, where buyers previously defended the price. This is a key area to watch for pullbacks.
* Supply Zone (Resistance): $596.75–$600.00, a critical hurdle where sellers may step in. A breakout above $600 could lead to strong bullish continuation.

Price Action Insights:
1. SPY is respecting the ascending channel, with price consolidating near the upper boundary at $596.75.
2. A breakout above $596.75 could trigger a sharp move toward $600 and beyond. However, rejection at this level may lead to a pullback to the mid-channel support near $592.00.
3. MACD shows bullish momentum, but the histogram is flattening, signaling potential consolidation before the next move.

Order Blocks:
* Bullish Order Block: $592.00–$593.00, where institutional buying is likely to occur on pullbacks.
* Bearish Order Block: $596.75–$600.00, where selling pressure has historically capped upward moves.

Entry & Exit Suggestions:
For Scalping:
* Entry: Look for a pullback to $593.00 with bullish confirmation (e.g., rejection wicks or bullish engulfing candles).
* Target: $596.50 (partial profits), $600 (final target).
* Stop-Loss: Below $592.00 to limit downside risk.
For Swing Trade:
* Bullish Scenario:
* Entry: Above $596.75 on a confirmed breakout with high volume.
* Target: $600 (short-term), $602–$605 (extended target).
* Stop-Loss: Below $594.00 to protect against a false breakout.
* Bearish Scenario:
* Entry: Below $592.00 if SPY fails to hold mid-channel support.
* Target: $584.63 (first target), $581.91 (extended target).
* Stop-Loss: Above $594.00 to minimize risk of early exit.

Playbook & Game Plan:
1. Pre-Market Prep:
* Highlight $592.00 and $596.75 on your chart.
* Monitor pre-market volume and price action to gauge momentum near these levels.
2. Scalping Checklist:
* Use the 9 EMA for trend confirmation.
* Look for quick trades within the $593–$596.75 range, locking in profits at key levels.
3. Swing Checklist:
* Wait for clear breakouts or breakdowns.
* Use higher time frame charts to confirm trend direction.
* Maintain conservative stop-loss levels to protect against unexpected reversals.

Thoughts & Projections:
* Bullish Case: If SPY breaks above $596.75 with strong volume, it could rally to $600 and possibly test $602–$605.
* Bearish Case: A rejection at $596.75 or breakdown below $592.00 could lead to a retracement to $584.63 or lower.
* Consolidation Case: Absent strong catalysts, SPY may range between $592 and $596.75, offering scalping opportunities.

Conclusion:
SPY is positioned near a critical resistance level, with the potential for significant movement on Monday. A breakout above $596.75 could lead to a strong push toward $600, while a failure to hold $592.00 support may signal a pullback. Both scalpers and swing traders should focus on disciplined execution and proper risk management.

Disclaimer:
This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research and trade responsibly. For more insights, check out the Market Outlook Podcast.