SPY chart, bullish divergence on 60minute chart

Price (Line 1) has a bullish divergence with RSI (Line 2) and MACD Hist(Line 3) but not with MACD line (Line 4).

To me this suggests SPY moves higher, and any downside would be limited, whipsaw, in the event that SPY moves under 125, then it will more fully define the bearish diverg and I would expect a bounce if that happened.

Sometimes it takes 3 or 4 divergences before a meaningful rally happens, so we'll watch and see.

Also, if the MACD hist continues its current pattern, then the next move below 0 would be shallow (note how each one is shallower). That should limit downside.

Double click to see full size.

XLF is stronger, with a bull divergence on all 3 (MACD hist, RSI, MACD line)

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