Last week we had a day where the SKEW was above 130, this put a damper on the rally. The VIX is extremely low as with the VXST.
This time of the year is supposed to be very bullish, but signs of weakness are mounting. First, the P/C ratio is now rolling over and moving higher. Market breadth is weakening, also.
The SPX is still very bullish. Until it trades below 2200, the market trend is up.
We are headed into the most bullish part of the year. If the market is not going to rally over the next 5 trading days, January can be a troubled month.
