VIX Volatility Daily Chart

The stock market drama continues. The wealthy elite class, that own large stock portfolios, dance jigs of joy astonished at how easy it is to rape America for all its worth. The happy talk on vaccines (even though the pandemic is currently raging out of control with hospitals at the breaking point), and monetary (Fed) and fiscal (Congress) stimulus (even though the food lines are miles long and 40% of the people receiving food never stood in a food line before) send the stock market to all-time highs. The privileged class, that control the crony capitalism game, dance with glee with money falling from their stuffed pockets, while the huddled masses are in survival mode; 54 million Americans are food-challenged. America is the land of the have's and have not's; the New Gilded Age is upon us.

The central bankers maintain their jackboots on the throat of volatility, holding that beachball underwater, so equities can keep printing record highs making the wealthy smile. The Federal Reserve members perform the dovish bidding of Wall Street's investment banks since they are rewarded with lucrative speaking fees at token luncheons once they leave public life; the quid pro quo. Crony capitalism is corrupt like all other ism's.

The Keystone Speculator's VIX 200-Day MA Indicator says stocks are in a short-term bull market if the VIX is below the 200-day while stocks are in a bear market if the VIX is above the 200. The VIX is currently printing 22.54 on Monday morning on the East Coast and the 200-day MA is at 32.28 so the bulls are in control of the stock market direction.

Keybot the Quant, Keystone's proprietary trading robot, remains long currently and is tracking 25.70 as the key bull-bear line in the sand (red bar). Bad things will happen to the stock market when the VIX moves above 25.70 but for now it is all wine and roses with shiny happy people all around.

The bull are happy and bears got nothing as long as the VIX remains below 25.70. Above 25.70, trouble begins for the stock market with equities selling off. Once 32.28 is hit, the wheels will fall off. Big and serious trouble arrives. Blood and carnage will appear on Wall Street when the VIX moves above 33. 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.