SPX advanced no less than 12% this first quarter making one of the best since 1998. AAPL is responsible for 15% of SPX gain. Market is now bullish on all time frames. SPX showed a little bit of weakness yesterday when SMA 120 was challenged but bulls came out to the rescue by the end of the day and they pushed for another 5 points today.
We are entering the earnings season on April 10th when Alcoa is going to report its results. The expectations are pretty high so I am not going to be surprised if SPX is going to move further up.
Bulls are very well positioned and they continue to buy every single dip. The rally uptrend line is now around 1,390. This is the level we should watch at the moment.
VIX continues to stay at a very low level but gained one point above the low seen a few days ago.
Summer is usually bad for stocks so we may see a peak in April or May followed by some weakness over the summer and eventually another bullish leg starting in in the fall.