Look for bonds and stocks to normalize, look for the VIX to fail on an SPX sell-off and then we will be at our floor. Right now the weak are being shaken out, the momo buyers. As the VIX rallies, I would be looking to sell puts in S&P 500 (SPY) around the 1,525-1,550 level as a way of getting long the market. Those that are longer term investors might look to sell a SPY put at the 152 level around the September or October time frame. I think there is a strong chance that the return on a put sold at that level works out well.
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