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Monday, December 8, 2014

VIX Volatility Daily Chart

The market bears are flexing muscles and trying to push volatility higher to create market mayhem. The 200-day MA is a key bull-bear signal. The VIX just pushed up through the 13.77 to 13.81 making for happy bears. The stock market will sell off as long as the VIX remains above 13.77. If VIX drops back under 13.77, the bears got nothing and stocks will recover into the closing bell. Watch the 200-day MA at 13.77 all week long as a key market direction gauge.

Keybot the Quant algorithm remains long and is tracking VIX 14.48 as the bull-bear line in the sand so watch this level as well. If VIX moves above 14.48, Keybot may finally flip back to the short side after riding the upside since late October. 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 1:36 PM: VIX is 14.07 now regaining the 14 level. The bears got some bite today.

Note Added 1:38 PM: VIX is 14.17.

Note Added 1:58 PM:  VIX 14.30. Watch VIX 14.43 as the bull bear line in the sand that Keybot identifies (the number is constantly recalculated in real-time and fluctuates continuously). The market bears push VIX to a HOD at 14.54 but cannot yet hold the VIX above the 14.43. If the VIX moves above 14.43, Keybot the Quant will likely flip short so there is drama occurring on this Monday afternoon.


Note Added 2:59 PM: VIX was above 14.43 but then collapses down through 14 and down to to the 13.77 support at the 200-day MA back to where the excitement started. Use the VIX 200-day MA at 13.77 as your directional guide forward. VIX is 13.88 so the bears are winning despite running out of gas over the last hour. If VIX remains above 13.77, another run higher in volatility and lower move in stocks will occur either into the closing bell or tomorrow. Bulls are sitting on easy street if the VIX drops under 13.77.

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