channel breakdown leads to waterfall

SPY hindsight analysis makes this trading business look so easy. A waterfall lower caused by the fed, raising rates, the USD, call it what you want, it doesn't matter. The facts are this. This week created a lot of technical damage as the S&P was down nearly 5% in 2ish days (dont forget .83 cents ex-dividend so the downside LOOKS worse then reality). The elastic has been stretched and we're "likely" to breath/retrace/sideways here a bit. I believe for at least the start of this week we should see the market catch its breath and digest the shockwave that just hit it. IF we do see some upside early next week i wouldn't get too excited, look at the last few candles here, V shape bottoms are rare, you want to see healthy bases develop before taking longs and we're days if not weeks away from a developed base at these levels. call it 157 half to 161 half is the range I am looking at this coming week.