Super strong rally that definitely caught many by surprise, including myself! I am very hesitant to get into new long positions for swing trades today simply because we are right back into some resistance zones in SPY. Many traders get very emotional on big rally days and feel like "I need to banking big money today" because it's a a big rally day. In my years of trading, i noticed that the best gains in stocks come on the days following a big rally. I will go a step further and say that often times, some traders will actually experience losses on big rally days simply because they feel like they need to be making LOTS of money and hence do all sorts of sloppy trading decisions like chasing gap up opens, over trading by taking every stock setups that triggers in a desperate attempt to 'BANK BIG MONEY". imho, and this is an observation that comes form experience, the best setups and lower risk/reward trade setups come in the days AFTER the rally.
As far as the SPY goes. I am in the camp that thinks a few days of sideways churning and basing near the 133.00 zone will help setup more upside possibly to 135 on SPY.