Market Summary:
Current ICAP Momentum/Trend Model (MOTR) Signal: NEGATIVE (Day Count = 5)
The SPX Index rose a modest 38bps yesterday, hitting a high of 6085 and closing at 6074. The Index continues to do work below the 6100 level as internals remain negative to flat. I continue to believe that there is a high probability of a spike in Spot VIX and a shift in VIX Term Structure to “risk off” in the near term. I also believe that risk is skewed to the downside in the current set up and could accelerate in Q1. The ICAP Momentum/Trend (MOTR) Model signal remains Negative. I remain net short below 6100.
Trade Support:
6000: Even Target
5976: Nov 9 Open/Low
5947: Nov 7 Open/Low
5864: Nov 6 Open/Low
Trade Resistance:
6100: Dec 6 High
6150: Measured Move
