SPY Might Get Sideways Chop But Overall Headed to 109.8

After an awesome day like yesterday it's important not to screw up by chasing so I'd advise to play small today. A lot of people will try to chase, a lot of people will try to short, and so it's possible that we get a sideways chop as big money digests yesterday's big move. Still SPY will continue to head up, the downtrend is over.

SPY is set to gap up and open at 108.7, I expect SPY to drop to 108.4 to fill this small gap. If SPY holds 108.4, then I favor SPY to rally to 109.8 to fill the gap there. SPY will face formidable resistance at 110.35.