This week's Ponzo forecasts are startling. The previous 18 week target for SPY was 236....a price level we hit today and the new Ponzo has a very bullish revised price target of 251, with a couple dips along the way. Remember...all these Ponzo forecasts are based on what's happened over the past 25 years when the current price pattern has occurred.....so if you believe history repeats itself then you should be a (cautious) buyer.
Meanwhile, TLT is still modestly bullish....a bit of a contradiction to an uber bullish SPY but bonds have kept bouncing off 117 support and there are numerous arguments to suggest this level will hold.
VIX looks just plain boring and ripe for butterfly options and calendar spreads....just be wary of rapid decay in the VIX options.
