VIX is Plotting Something 8/31/2020
VIX at the daily view.
The VIX is kind of like my crazy ex-girlfriend. Why do I say that? The VIX looked like it was calming down for a while. However, the VIX was quietly making lower highs as if it was secretly plotting for the ES' demise. By the time you realize what the VIX was planning, it's too late... just like my crazy ex-girlfriend.
In all seriousness, the VIX is making lower highs for the past four trading days in a row. The spike down was the algorithms doing their morning test. There was a bullish divergence on the daily RSI and on the VVIX. It looks like they're finally playing out.
The VVIX suggests that volatility hasn't gone away at all since it kept closing above 105. The VIX closed another day above the RSI resistance. This is primarily due to the tech hype. There are so many calls by small traders for big tech that it is aggravating the VIX. It seems that the VIX is recognizing that.
My original projection had the VIX spiking around September 10th (+/- 1 day). However, this ramp up is throwing a wrench in that projection. Then again, the ES was also 5 points away from my last historical resistance. If that resistance actually holds, then we might actually see volatility sooner than I originally thought.
I would definitely welcome that event and shamelessly buy that bigger dip.
The VIX is kind of like my crazy ex-girlfriend. Why do I say that? The VIX looked like it was calming down for a while. However, the VIX was quietly making lower highs as if it was secretly plotting for the ES' demise. By the time you realize what the VIX was planning, it's too late... just like my crazy ex-girlfriend.
In all seriousness, the VIX is making lower highs for the past four trading days in a row. The spike down was the algorithms doing their morning test. There was a bullish divergence on the daily RSI and on the VVIX. It looks like they're finally playing out.
The VVIX suggests that volatility hasn't gone away at all since it kept closing above 105. The VIX closed another day above the RSI resistance. This is primarily due to the tech hype. There are so many calls by small traders for big tech that it is aggravating the VIX. It seems that the VIX is recognizing that.
My original projection had the VIX spiking around September 10th (+/- 1 day). However, this ramp up is throwing a wrench in that projection. Then again, the ES was also 5 points away from my last historical resistance. If that resistance actually holds, then we might actually see volatility sooner than I originally thought.
I would definitely welcome that event and shamelessly buy that bigger dip.
כתב ויתור
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