Market Summary:
Current ICAP Momentum/Trend Model (MOTR) Signal: POSITIVE (Day Count = 2)
The SPX Index closed +57bps yesterday, hitting a new all-time high at 6025, and closing at 6021. The Index has broken and held above the previously identified resistance levels at 6000 and 6017 (Nov 11 high) with improving internals and volume. My expectation that Spot VIX would spike higher was not correct as the close there was marked at 14.10 and Term Structure is solidly in contango (risk on). The ICAP Momentum/Trend (MOTR) Model signal remains Positive. November is historically the strongest month for SPX Index returns and this year has been no exception. The current setup is bullish with the next upside target set at 6150 based on a measured move out of the recent consolidation range of 5864/6000.
The next note will be on Monday, Dec 2.
Have a Happy Thanksgiving!!
Trade Support:
5947: Nov 7 Open/Low
5864: Nov 6 Open/Low
5783: Nov 5 High
5733: Sep 19 High
Trade Resistance:
5976: Nov 9 Open/Low (broken)
6000: Even Target (broken)
6017: Nov 11 High (broken)
6150: Measured Move
