Should the failed breakouts on Friday worry stock bulls?

It seems fair to say that stocks failed to break out yesterday. IWM (Russell 2000) dropped 1.62% and failed to break through to new highs. The NYSE index closed below the July 2014 high after briefly overcoming it. So was the recent action a bull trap? Should we expect stocks to decline next week?

As always, nobody knows.

I think we can say that stocks are essentially trading in a range. Let's look at a 1-year chart of SPY:

Stocks have been essentially range-bound for the last 6 months and in an even tighter range for the last 2 months. I don't think the other indices are going to make a sustained run, up or down, until the current range-bound trading in SPY is resolved.