I haven't posted in the last couple of days because I haven't altered my prognosis thinking that much. I'm still looking to get long and will use today's weakness to put on some trades. If skew goes up then I think it will be a good time to sell some of that skew and go long deltas via ratio spreads (or some variant like BWBs) or sell some out of the money puts. Yesterday we started off weak but staged a noon rally to only close slightly lower. Cumulative ticks actually were down 20,000 early and then finished up 20,000. Market internals were all slightly negative. At this stage some of my quants are predicting some further strength 1 week out or so. Another quant study also showed that a strong month often ends with some profit taking before the buying resumes at the start of the month, therefore I want to position myself accordingly using some weekly options.
If I come up with some trades toda I'll post them up tomorrow.
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