Large Correction Imminent?

17 ביולי 2020

VIX closed below its 200 day SMA for a second month in a row. Last month, VIX closed below 200 day SMA on a Friday also, and 1 week later, was the largest correction of the broader market since March.

Yesterday, NFLX, a company that would benefit most from the "stay at home"/lock down environment posts an earnings miss* (with an asterisk), and with a majority of major tech announcing their earnings next week, if several of the other major tech companies missing their earnings or offering poor or no guidance, we could be in for some major volatility in the coming 2 weeks.