Market Regimes
ContextEvery trading day, Signal52 classifies the market into one of four regimes based on macro indicators, price action, and volatility data. Regime context shapes how you should interpret every signal and score on the dashboard.
Check the current regime in AI Insights, updated every evening after market close.
View Today's Regime →Risk-On
Market rewarding growth and momentum
Growth, momentum, and higher-beta names are in favor. Risk appetite is elevated. High-conviction setups carry the most weight in this regime.
Risk-Off
Defensive posture — flight to safety
Capital rotating to safety — bonds, defensive sectors, cash. Even strong setups underperform. Raise the bar for entry and respect risk signals more strictly.
Neutral
No clear directional conviction
No dominant trend in either direction. Stocks can move independently of broader market forces. Look for stronger individual signal confluence before acting.
Caution
Regime in transition — elevated uncertainty
Market conditions in flux. Expect lower signal reliability and wider outcome ranges. Patient positioning is the priority — wait for regime confirmation.
How Regime Is Classified
The macro inputs that drive daily regime determination
CBOE Volatility Index. Elevated VIX signals stress and risk-off conditions.
Yield curve slope. Inversion or flattening often precedes Risk-Off or Caution.
Investment-grade bond spreads. Widening spreads indicate deteriorating credit conditions.
Current policy rate from the Federal Reserve, providing the macro rate backdrop.
Data sourced from the Federal Reserve Economic Data (FRED) system, updated daily after market close.