The broad stock market, as measured by several indices, but particularly by the S&P 500 Index ($SPX) has broken out to new all-time highs. Other indices that have done the same include the Dow ($DJX), NASDAQ Composite, NASDAQ 100 ($NDX), Midcap 400 ($MID), and the NYSE Index.

This breakout has reaffirmed the bullishness of the $SPX chart, as that had come under some doubt with $SPX mired in the 2255-2280 trading range. Now the 2280 area is support, as is the 2255 area. Below that, there is major support at 2233 (the December lows).

The equity-only put-call ratios remain split in their outlook. The standard ratio rolled back over this week and is now on a buy signal once again. The weighted ratio, meanwhile, continues to hover at very low levels, and remains on a sell signal.

Market breadth improved somewhat this week, and both breadth oscillators are on buy signals once again.

While we continue to maintain that $VIX is not a problem as long as it doesn't begin to rise in an uptrend, these extremely low levels of $VIX are somewhat dangerous.

In summary, things are quite bullish right now and will remain so as long as $SPX continues to trade above support levels.

Lawrence G. McMillan is the author of two best selling books on options, including Options as a Strategic Investment, and publishes several option trading newsletters.