The market that has been wildly bullish was ripe for at least a small correction and this chart says we got the party started. Don't jump on the bandwagon just yet of "this is it, the big crash is here!" Corrections happen and moreover some of the best trading days are just 1 to 2 days after the worst. This could offer a great opportunity for buying dips, be ready.
The VIX is up! Biggest spike since 2015
Not a timing indicator though $VXV
As previously posted, 50ma crossing a flat moving 200ma in a bullish manner is explosive
It is a matter of when it breaks out, watch it closely....
Comment added in section of previous chart
The VIX has been at all time lows. Be patient with these markets as the SPX continues to melt higher. Pullbacks in ES.H18 have been shallow and quickly bought up. Keep in mind to have any follow through to the downside, we will need a fundamental catalyst.
This is only the 5% drop that I was talking about. I was hoping it started a week or two later but oh well.
It appears that Bitcoin prices are correlated with the inverse VIX since the debut of Bitcoin futures trading. Looks like Bitcoin is seen as a risk-on asset to institution looking for higher returns. If the stock market keeps dumping, so might Bitcoin prices.
Longer term resistance TL's a bit higher
I think I can see it.. Yes this has been very tricky. When I see it bust through then I wait to see what the market wants to show me and adjust. As you can see,....IT APPEARS...LOL....like we are if the final wave 5. Today was a small wave 4 and we should move up in the next day or two. Since the larger wave 1 was the longest, wave 5 cant be longer than wave...
Confluence resistance after 7 year run and 2900% increase
As noted for the Fib MA's for the true harmony of the averages, you can use the 50 and 200 just as well, watch this set up in the coming days, success and up, failure and more of the same in the markets, needs to close above 12.20 on the daily and watch if it happens!!
VIX needs to close above 12.20 to see lower prices and downside movement in the S&P if the 50 MA crosses the 200 MA then a major upside run will occur, may last days or weeks to a few months
This is what I intend to do this week : 1. to rebalance my portfolio - ensure profitable stocks, currencies and commodities are either cash out partially or increase my trailing stops to avoid backlash 2. to reduce my long exposure - avoid spreading too thin - there are always something to long if you look hard enough ,haha. To keep the main thing the main thing...
... for a 2.24 debit. Metrics: Probability of Profit: 89% Max Profit: $76/contract Max Loss: $224/contract Break Even: 14.76 Metrics: Here's the live trade for the VXMT-guided, medium term volatility trade referenced in the post below. At the time of the trade, VXMT was at 14.46, which is approximately the price at which the April futures contract is trading...
As 2017 comes to a close as one of -- if not the -- lowest volatility years ever on record for the S&P and Nasdaq, I'm not hopeful that this low volatility won't continue for some time to come. To be honest, though, no one really has any way of knowing or predicting volatility going forward, except in the most obtuse of ways, such as forecasting market...
For some time now, the ES has practically done nothing but go up. The last time that I remember anything actually significant happening in terms of volatility in this market was election night, which was a minor hiccup & was followed by a full recovery the next morning. There isn't much to be said here, aside from the fact that the ES is at all time highs, while...