Ok despite a down session in Asia and in Europe so far this morning it is fair to recognise that the stock markets have somehow recovered over the last few sessions. I thought it would be a good idea to look at my Markov model to see in what market state we are now. I use the VIX as an input.
An yes it has been risk on since the 26h of June……bearing in mind the typical duration of 21 days of the “Risk On” state July should turn out as a good month unless atrocious fundamental data hits us…..