Current ACAP Momentum/Trend Model Signal: POSITIVE (Day Count = 5)
The SPX index gained 48bps yesterday, closing at another all-time high at 6227. Momentum and trend continue to expand and provide confirmation. My Spot VIX signal has shifted to “neutral” from a very productive “risk on” signal which triggered back on May 26. My VIX Term Structure signal is “risk on”. The ACAP Momentum/Trend Model signal is Positive. As I wrote yesterday, “Based on the current set up, the index has room to the upside and seems poised to take it. Risk is skewed to the upside.”
Trade Support:
5750: 38.2% Retracement Peak-to-Trough
5700: Previous Support Sep/Nov
5500: ~10% Move Peak-to-Trough
5400: Sep 2024 Lows and Apr 3 Low/Close
Trade Resistance:
6000: Previous Support (BROKEN)
6100: Previous Support (BROKEN)
6147: All-Time High (BROKEN)
6390: Fibonacci Projection (Aug ’22 Low to Feb ’24 High)
