The SPY is forming a bearish diamond reversal pattern just below critical trend resistance from the larger trend. If we create a bear-spring pattern at this larger trend resistance marked with the dotted green line, or if we simply reject down from it, then we can assume a high likelihood of breaking the diamond to the downside.
Of course, naturally, if we form support at or above the larger trend resistance, then we can assume the price will not complete the bearish diamond reversal pattern and will do something else entirely.