The S&P 500 Index (SPX) has experienced notable volatility over the past week, with prices fluctuating between key support and resistance levels. The index surged from below 5,050 to just under 6,000, demonstrating a strong bullish structure, but recent option sentiment scores have declined from 5 to 3, indicating cooling momentum. Analysts have identified the 5,800 to 5,880 range as critical support; holding this zone suggests a potential dip-buy opportunity, while a break below 5,750 could signal a shift in market tone. The SPX has retraced from last week's highs, with a likely trading range between 5,959 and 5,786. The 50% retracement level is noted at 5,867. The SPY ETF has been observed bouncing off short-term support levels near 580 and 585, with the 8-day moving average around 586 to 588 acting as a key pivot. A close below 588 and the 8-day moving average could prompt risk adjustments among traders. Additionally, the SPX recently gapped down approximately 100 points, falling below its 200-day moving average, which is considered a significant technical level. This decline has complicated downside setups and presents a firm reset point, with support levels identified near 5,722 and 5,700. Technical indicators such as the Relative Strength Index (RSI) and Bollinger Band breadth suggest the index is currently overbought, which historically precedes short-term pullbacks. Market participants are closely watching today's closing price for further directional cues.