Market Summary:
Current ICAP Momentum/Trend Model (MOTR) Signal: NEGATIVE (Day Count = 4)
The SPX Index closed flat on the day. However, the session was relatively volatile with a high/low range of over 1.3% (77 handles). The index attempted to rally early in the session, tested the 50dma (ref 6004) around mid-day and failed. Overall, price seems unable to rally and hold back above 6000 as momentum and trend continued to fade. Spot VIX and VIX Term Structure remain neutral to “risk off”. The ICAP Momentum/Trend (MOTR) Model signal remains in Negative. I continue to believe risk is to the downside. I fully expect the 5850/5900 gap to fill in the near term with an intermediate term downside target of 5700.
Trade Support:
6130: Previous Resistance (BROKEN)
6100: Previous Resistance (BROKEN)
6000: Previous Support (BROKEN)
5850/5900: Jan 14 / Jan 15 Gap (TESTED)
5700: Previous Support Sep/Oct
Trade Resistance:
6250: Measured Move
6400: Measured Move
