Yesterday we noted the potential 30-minute head and shoulders top for bears to pounce on the SPY chart. However, the massive caveat in 2013 to any and all bearish patterns is that we are in an overall strong uptrend, which renders even the prettiest of bearish setups to be vicious traps luring in eager shorts.

As an example, that head and shoulders apparently was on its way to giving bears a reprieve, only to see dip-buyers come in, yet again, this morning.

Now, yesterday’s highs have not yet been exceeded, which means the bears have exactly one chance here to get this going in their favor again. However, as I noted yesterday the market may very well just want to churn sideways in lieu of any dramatic moves up or down. Either way, we have some goalposts in play now to see which side wins out with respect to yesterday’s highs or this morning’s lows being beached.

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