Archives

Weekend Update

January 12, 2018

VIX

 

VIX consolidated for a sixth week beneath Long-term resistance while making a double right shoulder to match the double left shoulder of a potential Head & Shoulders formation. It closed above Intermediate-term support at 10.02 but it may take a break of Long-term resistance at 10.93 to generate a buy signal. A breakout above the Ending Diagonal trendline suggests a complete… Continue reading

January 5, 2018

VIX

 

VIX declined to make a double right shoulder to match the double left shoulder of a potential Head & Shoulders formation. The Moving Averages are so low that it may take a break of Long-term resistance at 10.93 to generate a buy signal. A breakout above the Ending Diagonal trendline suggests a complete retracement of the decline from January 2016, and… Continue reading

December 29, 2017

VIX

After multiple challenges of Short-term and Intermediate-term resistance, VIX rallied in the final hour on Friday to close above Long-term resistance at 10.98. This action generates a clear buy signal. A breakout above the Ending Diagonal trendline suggests a complete retracement of the decline from January 2016, and possibly to August 2015.

(SeekingAlpha) 2017 has been a record year for… Continue reading

December 22, 2017

VIX

VIX challenged its Intermediate-term resistance at 10.18 but closed beneath it  A close above Long-term resistance at 10.98 may generate a buy signal. A breakout above the Ending Diagonal trendline suggests a complete retracement of the decline from January 2016, and possibly to August 2015.

(WSJ) U.S. stocks continue to loll along but a few under-the-radar readings reveal simmering… Continue reading

December 15, 2017

VIX

VIX challenged its Intermediate-term resistance at 10.22 but did not break above it, closing near an 88.6% retracement A breakout above the Ending Diagonal trendline suggests a complete retracement of the decline from January 2016, and possibly to August 2015. The December target may be the Cycle Top at 23.11.

(ZeroHedge) While the fear-tracking VIX has been languishing near… Continue reading

December 8, 2017

VIX

 

After challenging its mid-Cycle resistance at 14.39 last week, VIX declined to an 85% retracement. A breakout above the Ending Diagonal trendline suggests a complete retracement of the decline from January 2016, and possibly to August 2015. The December target may be the Cycle Top at 23.46.

(WSJ) A summary of markets this year requires only two words: Low… Continue reading

December 1, 2017

VIX

 

VIX challenged its mid-Cycle resistance at 14.54 this week, breaking out above its November 15 high at 14.51. It has since made a 62% retracement. A further breakout above the Ending Diagonal trendlne suggests a complete retracement of the decline from January 2016, and possibly to August 2015.

(Bloomberg) The “VIX Elephant” has awakened. And “50 Cent” is back.… Continue reading

November 24, 2017

VIX

VIX was slammed in the final hour of the day on Friday to a new all-time low. This leaves the VIX with a Megaphone (reversal) formation. The lager formation that gives an upside target is the Ending Diagonal which suggests a complete retracement of the decline from January 2016.

(Bloomberg) The Cboe Volatility Index touched an all-time low amid a… Continue reading

November 17, 2017

VIX

VIX rallied from its mid – Cycle resistance at 14.59 before closing above Long-term support at 11.11. VIX is on a buy signal. The inverted Head & Shoulders formation now has a completed right shoulder giving a potential target for the next move higher when the neckline is exceeded.

(Barrons) The CBOE Volatility Index spiked to 14.5 early Wednesday morning… Continue reading

November 10, 2017

VIX

VIX rose from its Master Cycle low to close above Long-term support/resistance at 11.11. VIX is now on a buy signal. The inverted Head & Shoulders formation now has a completed right shoulder giving a potential target for the next move higher.

(Bloomberg) Volatility roared back into the U.S. equity market as fresh concern about the prospects for tax reform… Continue reading