After a week of bullish activity in the SPY we're seeing the expected pullback today. This is still a news driven market with a variety of escalating risk factors that could swing the markets dramatically either way. On a strictly historical basis Ponzo is presenting a bullish odds skew for the next 2 weeks but after that the prognosis is murkier. The longer term trend into the year's end remains downslope.
This week we look at the SPY forecast versus IEF (IShares 7-10 year Treasuries)....quite a difference!