The market is currently in a correction, and SPY is showing signs of a potential bounce. But before assuming the trend is reversing, it’s critical to understand what we may actually be seeing: a counter-trend rally.

These rallies happen within a larger downtrend and often mislead traders into thinking the worst is over. But the cool thing is, that these countertrend rallies are very playable, and can provide some of the best profit-generating opportunities the market has to offer.

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