Thursday 4 October 2012

Volatility down again

With the SP' breaking above the important trend line of 1455, the VIX slipped lower by over 5% to close in the 14s.


VIX'60min



VIX'daily



Summary

So, another failed move for the bears. With the sp' close in the low 1460s, we're barely 1% from the QE spike high from 3 weeks ago. New index highs now seem likely within days, if not tomorrow.

If Mr Market likes the jobs data, then a challenge of 1474 is viable tomorrow, and then the big 1500 next week.

In terms of VIX, we could be looking at 11, even single digits. This all assumes no 'upset', and it has to be said..it is after all...October.

More later