The S&P 500 ETF Trust (SPY) and related indices such as the Nasdaq-100 ETF Trust (QQQ) have been exhibiting inside day trading patterns amid a market pullback following recent highs. The SPY is currently testing key technical levels, including the 8-day exponential moving average (EMA), which was around $586.19 to $588 during the week of May 20-21, 2025. Analysts noted that a dip to the 8 EMA level, near $585, was expected and has occurred, representing a potential buying opportunity unless the market breaks below the weekly low of approximately $5786 on the S&P 500 index. The 50% retracement level was identified at $5867. Market breadth has been weak, and volatility adjustments were observed following the expiration of the VIX futures. The SPY's short-term support levels include a put option wall around $585 and a value area bottom near $583.15. A close below the 8-day EMA and the $588 level would prompt risk reassessment for traders.