Wednesday, November 26, 2014

VIX Volatility Daily Chart

Two numbers bear watching for the VIX; the 13.83 and 14.15 levels. The VIX 200-day MA is a valuable signal line that dictates bullish versus bearish markets over the short term. The VIX is 12.25 at two-month lows well under the 200-day MA at 13.83 so the bulls are cruising. Market bears got nothing unless the VIX moves above 13.83.

Keybot the Quant algorithm remains long the market and the model is tracking VIX 14.15 as a major market directional force currently. So bears actually need to move VIX above 14 and above 14.15 to kick any market selling into high gear. If the VIX remains under 13.83, the bulls are gliding into Thanksgiving without a care in the world. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added 10:32 AM: The trading day is well underway. The VIX is dropping like a stone to 12.03 now 12.01 which will send equities higher. SPX is 2069.35 remaining elevated.

Note Added 12:37 PM: The VIX drops to 11.97 now printing an 11-handle which is a punch in the face to bears.

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