Current ACAP Momentum/Trend Model Signal: POSITIVE (Day Count = 1)
The SPX index gained just 2bps on the session yesterday, closing at 6389. The index did test 6400 with a high of 6401 but faded back to the previously identified resistance level of 6390 for the close. My momentum and trend indicators improved slightly. My Spot VIX signal is “neutral”. My VIX Term Structure signal is “risk on”. The ACAP Momentum/Trend Model signal shifted to Positive. Although the index seems extended at current levels, a breakout above 6400 would set up for a run to 6600. I do see this as the higher probability trade currently.
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)
6400: July 28 All-Time High (TESTED)
