Stock chart patterns and technical analysis (TA) explained simply. Disclaimer: This blog and all its contents are for educational and entertainment purposes only. Do not trade or invest based on any information seen on this blog. Please read Terms of Service. The K E Stone blog sites (Keybot the Quant) are blacklisted by Google, so enjoy the ad-free experience, and only use the Donate button when supporting the sites.
Monday, August 29, 2011
Keystone's SPX:VIX Ratio Indicator Regains 35
One of Keystone's turn signals, the SPX:VIX ratio, popped above 35 at 9:31 AM. Thus, expect a large market up day including a triple digit up day for the Dow Industrials. The move above 35 confirms that the bulls are running and the recovery rally is for real. The only way the market bears can regain control is if they can push the ratio sub 35 again. For now, the broad market bulls rule, but, in these treacherous markets, subject to any Euro news, with high volatility remaining in place relatively, watch the SPX:VIX ratio 35 level like a hawk, especially early this week. Reference the Turn Signal page on this site for further information.
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