Those that have been watching the SPY all day might believe it might be setting up for a move higher from here. Why so ? Here is the chart that the technical traders are seeing that explains why I think this:
![](https://ci4.googleusercontent.com/proxy/-nKhuBhFT3ui9bVBCjpNpyONNWXrbhySC3B-dXs5qbJ2163yagtptlXPOjw9h-FNW69bO_O-M1P7aGvgr3uD0HTxJgvYVZgEfA6lKXMEZTvggoJa30OcE6MtnzJ_sz_VkwAe3YGWgUo=s0-d-e1-ft#https://cdn.ragingbull.com/media/2020/02/raEDQNAwiKfSyVDE8PgjucHml6nDVq5CVYKTBSRo.png)
The SPY has set up in a wedge pattern today, using $334.12 as the resistance line. Meaning lower lows all day long. Additionally, as you can see it has set up on a squeeze on the half hour and the momentum is turning up. If it can break up over that resistance line I think it could run and we could profit. So a tech savvy trader might have bought the calls from the morning: FEB 12 20 $335 Calls on the SPY at $1.25 and then looking to hold them for 10% or more if it can break out here. Close under $333.50. Some risk here, but its worth giving it a shot.