VIX is 10% below 10 DMA. I think it is one of Connors CVR signals for short-term market reversals. a couple of other CVRs that I recall suggest imminent reversal as well. the complacent is surely rampant, bulls must be punished for having such an easy life with prices only going up. does anybody trade based on CVRs?
Well said Shortie. The complacency is incredible. It's about time for the volatility to go up, and the whip saws to come back.
The drop that occured today that leaves a single bar top in place from yesterdy may be difficult to breach. It looks as though volatility is about to pick up...to the down side. What do others think?
I think we are about to dip somewhere between 5% and 20%, with the most likely scenario being a 5%-7% dip. I've been saying this for quite some time....so far it is playing out exactly as i suspected (which is a bit surprising) There is a darker possibility...if earnings end up being significantly disappointing, things could turn much uglier. But, that seems unlikely with interest rates where they are.
+1 I'm not saying we can't go higher, but I'm tightening up the stop losses on my investments. The market is waaaaaay ahead of the rest of the economy this time. I'm happier to lock in my profits and miss the next teetering rise until I see something to back it up.