Current ACAP Momentum/Trend Model Signal: POSITIVE (Day Count = 15)
The SPX index gained 41bps during yesterday’s session, closing at 6688 to end both the month and the quarter. This close ticked just 8bps below the Sep 22 all-time high closing price of 6693. Price remains constructive. Momentum and trend indicators held. My Spot VIX signal remains “neutral”. My VIX Term Structure signal remains “risk on”. The ACAP Momentum/Trend Model signal remains Positive. As I have written the past few days, “I would remain long the index above 6600 and reduce exposure on a break below and/or shift in the ACAP signal to Negative.” Risk remains skewed to the upside.
Trade Support:
6600: Previous Resistance
6400: Previous All-Time High (July 28)
6200: July 7 Low
6147: Previous All-Time High (Feb 19)
Trade Resistance:
6802: Fibonacci Projection (123.6%)
7035: Fibonacci Projection (138.2%)
