Chris Ciovacco

About the Author Chris Ciovacco

Chris Ciovacco is the founder and CEO of Ciovacco Capital Management (CCM), an independent money management firm serving individual investors nationwide. The thoroughly researched and backtested CCM Market Model answers these important questions: (1) How much should we allocate to risk assets?, (2) How much should we allocate to conservative assets?, (3) What are the most attractive risk assets?, and (4) What are the most attractive conservative assets? Chris is an expert in identifying the best ETFs from a wide variety of asset classes, including stocks, bonds, commodities, and precious metals. The CCM Market Model compares over 130 different ETFs to identify the most attractive risk-reward opportunities. Chris graduated summa cum laude from The Georgia Institute of Technology with a co-operative degree in Industrial and Systems Engineering. Prior to founding Ciovacco Capital Management in 1999, Mr. Ciovacco worked as a Financial Advisor for Morgan Stanley in Atlanta for five years earning a strong reputation for his independent research and high integrity. While at Georgia Tech, he gained valuable experience working as a co-op for IBM (1985-1990). During his time with Morgan Stanley, Chris received extensive training which included extended stays in NYC at the World Trade Center. His areas of expertise include technical analysis and market model development. CCM’s popular weekly technical analysis videos on YouTube have been viewed over 700,000 times. Chris’ years of experience and research led to the creation of the thoroughly backtested CCM Market Model, which serves as the foundation for the management of separate accounts for individuals and businesses.

S&P 500: Guideposts Nearby On Multiple Timeframes

Prove It To Me Market

As we outlined in a November 20 video clip, the “return to the year of the whipsaw” action in the S&P 500 over the last few weeks means we prefer to make the market “prove it” by clearing some overhead guideposts.

Daily Guidepost

If the S&P 500 is to rally for several months and go on to make significant higher highs, it has to clear and hold above 2093, which is the R1 line shown in the chart below. The S&P 500 closed at 2089 on Tuesday, November 24.

Weekly Guidepost

When areas of possible resistance or signals occur on multiple timeframes they tend to be more useful. The R1 level on the weekly chart of the S&P 500 sits at 2095. The S&P 500 closed at 2089 on Tuesday, November 24.

Monthly Guidepost

The possible resistance trifecta is in play with R1 on the monthly S&P 500 chart coming into the picture at 2095. The S&P 500 closed at 2089 on Tuesday, November 24.

How Can This Help Us?

If the S&P 500 closes over 2095, does it mean we have entered bullish utopia? No. A single close or even a handful of closes over 2095 does not necessarily mean resistance has been cleared; there is no magic number of days. If 2095 is cleared and held, the longer the market stays above 2095 and the further it moves above 2095, the more relevant it becomes.