The SPY bounce

Channel extrapolation shows that we bounced on a lower TL support and also 23.6% fib from the mid March low to the Bin Laden top in May. SPY was able to get close to 130 but closed at 5 EMA and the 38.2% fib. As you can see from the 10 minute chart we're starting to see an inverted H&S forming. This pattern would be completed by SPY coming down to 129'ish and heading back up to 130 and breaking out possibly tomorrow but looking more like next week. The measured move is about 1 point so you could expect an upside target of 131 close to the 50% fib.

10 minute