Last week, we identified 710 as a key upside target for the SPY, and that level was reached on Friday. Since then, price has been hovering around that area, which naturally raises the next big question for traders and investors:
What happens next?
When a major upside target is hit, the market often enters an important decision zone. In some cases, price can consolidate and build a base for another move higher. In others, it can begin to stall as traders take profits and momentum starts to cool. That is why the action around this level matters so much.
Right now, 710 is acting as a line in the sand.
After a strong run higher, it would not be unusual to see some short-term hesitation or even a pullback from here. Markets rarely move in a straight line forever, and when a widely watched target gets reached, some selling pressure can show up as traders lock in gains. At the same time, if the SPY can continue holding near this level without breaking down, that may signal underlying strength and the potential for further upside.
This is where traders need to stay flexible.
Instead of guessing, the better approach is to watch how price behaves around this target. Does the market reject the level and begin to roll over? Or does it digest the move and prepare for another push higher? The answer could help shape the next short-term move in stocks.
In this week’s Market Minute, we break down the chart, key levels to watch, and what could come next for the broader market.
If you want to stay on top of where the market may be headed from here, be sure to watch this week’s update.