Meta Strategy Derivatives Portfolio – Probability Map Update.

Today’s report digs into the mechanical nature of last week’s relentless stock market rally. We try to fathom how long it may last and look at the chances of seeing a strong year-end rally.

After a successful retest of the correction bottom and reclaiming significant resistance levels we increased the model portfolio’s level of leverage.

As usual I map my current data-driven estimate of the probabilities for future returns of the S&P 500 over the short-, medium- and long-term.