The next few trading sessions will provide valuable clues as to the market’s direction, one analyst posted on on Friday.

Watching the market’s “pivot points,” or trading ranges where the market sits now, can prove helpful, said Sam Collins, InvestorPlace’s chief technical analyst. The key is whether the S&P 500  SPX rises above 1,173 and stays there, or if it breaks below 1,120 and wallows in the trading range of the summer of 2010 – or worse.

Collins is looking to see whether the S&P is making a ”head and shoulder” formation with the most recent plunge in the benchmark index forming a “neck line.” If that neck line stabilizes and stays within the current trading range, then the market could move up. But he fears that any move up could result in a failed rally, since the market appears to be moving in a generally downward direction. Volume weakened during Thursday’s rally, Collins noted, giving rise to concerns that a downward move seems clear.

The minimum target for the neck line, Collins said, is 1,149 for the S&P. After yesterday’s trading, the midpoint range for the week was 1,146. That’s sure to come up if Friday’s trends continue. The key is to watch for the S&P to break back higher above the 1,260 neck line point and whether it can stay there.

If, however, the S&P breaks below 1,120 and stays there, it could be rough sailing ahead, Collins notes.

“High volatility is not over since the high-velocity traders will not quit until forced by circumstance or regulation,” Collins said