Current ACAP Momentum/Trend Model Signal: NEUTRAL (Day Count = 2)
The SPX index gained 40bps during Friday’s session, closing at a new all-time high of 6388. The index remains at/near the previously identified upside target of 6390. My momentum and trend indicators are improving as the index seems to be building up steam for a full test of 6400. My Spot VIX signal is “neutral”. My VIX Term Structure signal is “risk on”. The ACAP Momentum/Trend Model signal is Neutral. I would expect a shift to Positive if we see another session of productive price action. That said, although you could easily make the argument that the index is extended here, a breakout above 6400 with a confirming ACAP signal could create a hard push up to the 6600 level. The coming week will be very telling.
Trade Support:
6200: July 7 Low
6147: Previous All-Time High (Feb 19)
6100: Previous Support
6000: Previous Support
Trade Resistance:
6284: All-Time High (Jul 3) (BROKEN)
6390: Fibonacci Projection (Aug ’22 Low to Feb ’24 High) (TESTED)
