#VIXindicator A second signal fired when the VIX opened about 13.26, which is 50% above the VIX low of 7/26. This means we have a Warning into effect, with the possibility of further downside in the coming days or weeks.
#VIXIndicator A downside signal has fired in the pre-markets, with VIX passing 12.41. This cancels the Upside Warning, and puts us on notice that more downside is possible. If the VIX hits 13.26, that would be a full-fledged Warning.
For those trading #VXXGame, be careful if you are carrying multiple short volatility positions. Take profits early; don’t always wait for expiration!
Jeff at what point does this rising vix indicate a possibly firing down trend?
Friday’s close of 9.36 was the lowest since Dec 1993; the second lowest close in VIX history.
Before this summer, the VIX had closed below 10 only 9 times. And it had never happened outside the months of November, December, and January.
Friday’s intraday low of 9.30 is the 4th lowest reading ever; the lowest since, again, Dec 1993.