VIX Risk Range - 12:59:46 (UTC) Tue Apr 7, 2020Previous Close: 45.24
Upper Bound: 70.23
Lower Bound: 40.13
Bias: Long
12:59:46 (UTC)
Tue Apr 7, 2020
Vixindex
KEEPING IT COOL!!! VIX SWING TRADE OPPORTUNITY (6 WEEK HORIZON)Pure technically we have seen the weekly VIX candle breach the Bollinger Band 6 times in the last 11 years with a syringe like pattern (more than 70% upside). In my opinion this pattern happens when people are in panic mode. 5 out of 6 times VIX dropped significantly within 6 weeks. The exception (rectangle shape) is the 2008 crisis. My SL will be set at the top of the syringe 62.37 (approx -25%). With a Risk/reward 1:2 my TP is 23.76 (approx +50%).
IMPORTANT NOTE: PAST REWARDS DO NOT ALWAYS REFLECT THE FUTURE and because this may be more like a 2008 style pattern. DO NOT INVEST more than 20% of your free cash and be ready for a martingale ( set an alert and double down in the next huge spike)
VIXChart illustrates by itself shows how crazy/irrational an 'emotional/fearful' market can get; it is what it is until it's not. GL
Volatility of US stock market will increaseHello, Dear Friends
VIX index expected surge in next few weeks, RSI / VIX index value in support range.
And for the direction of US stock market? I bet down.
THanks!
