### Market Update – January 13, 2026 (SGT)

Market Update – January 13, 2026 (SGT)

1. Executive Summary

Current Status:
The S&P 500 (SPX) is currently consolidating near record highs at 6,977.
Despite Fed-related uncertainties and looming CPI data, market breadth remains robust.

Core Logic:
The "AI Supercycle" continues to drive projected earnings growth of 13–15% for 2026.
However, short-term headwinds — including upcoming inflation data and political rumors regarding the Fed Chair — have caused a spike in volatility (VIX).

Trend Outlook:
Bullish Grinding. While short-term pullbacks are possible due to elevated valuations, the structural trend remains upward, with 7,000 firmly in sight as the next major milestone.

2. Triangular Analysis

Macro

• Bulls: Major institutions (e.g., J.P. Morgan) forecast double-digit gains for 2026, supported by ongoing disinflation and AI-driven productivity gains.
• Bears: Concerns over Fed independence and the upcoming CPI print have pushed the 10-year Treasury yield toward 4.19%, testing equity valuations.

Technical

• Structure: The index is trading within an accelerating bullish channel, comfortably above both the 20-day and 50-day moving averages.
• Indicators:
  • RSI(14) at 63.38 → Bullish, but not yet overbought.
  • MACD remains solidly in buy territory.

Micro

• Volatility: VIX has crept up to 15.9, reflecting increased hedging activity ahead of earnings season and CPI.
• Breadth: Market health continues to improve — over 70% of components are trading above their 50-day SMA, signaling a healthier, broadening rally beyond the "Magnificent 7."

3. Key Support and Resistance Levels

| Level | Price | Description | |-------------|----------|--------------------------------------------------| | R2 | 7,015 | Upper channel boundary & next psychological level| | R1 | 6,986 | All-time high area; immediate overhead supply | | Pivot (P) | 6,944 | Daily trend pivot; key battleground | | S1 | 6,915 | Prior breakout retest zone | | S2 | 6,845 | Critical moving average support (50-day SMA) |

4. Actionable Advice

Intraday:
Watch the 6,970 level closely.
If defended, the primary objective becomes a push toward the 7,000 milestone.

Swing:
Maintain a core exposure of 60–70%.
Use any macro-induced dip toward 6,900 as a high-conviction buying opportunity in quality names.

Risk Warning:
A failure to hold 6,915 or a VIX surge above 18 would signal a deeper mean-reversion move, potentially targeting the 50-day SMA.

📊 Key Data Summary

| Date (SGT) | Trend | Support / Resistance | Core Strategy | |--------------|-----------|----------------------|----------------------------------------------------| | 2026-01-13 | Bullish | 6,915 / 6,986 | Maintain long exposure; target 7,000; add on dips near 6,915. |

The grind toward 7,000 continues — stay patient, disciplined, and ready to buy quality on weakness.