Volatility fails to confirm the index declines

The VIX opened flat, maxed out with a gain of 2%..and closed effectively flat. With the dow and SP' closing down around 1.0 and 0.75% respectively, todays flat VIX is certainly unsettling from the bearish perspective.


VIX'60min

VIX'daily

Summary

I just don't know what to think about todays VIX action. Hell, if you look at the daily chart, thats a fractionally red candle - at the top of the upper bollinger band no less.

*Indexes: trans closed positive today, Rus'2000..marginally lower,  Dow/SP' lower.

So..with the VIX flat... what now?

I suppose the bears can at least see that the VIX hourly cycle - MACD (blue bar histogram) has now reset at least 50%. It could certainly jump higher again tomorrow, but...it sure isn't looking so great.
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Bears need a significant opening Thursday gap lower...right below 1425..preferably <1420. If that is possible, then perhaps the VIX can spike to 18/19.

I certainly don't see any near term moves <1400. There is still a near total lack of fear in this market, and the index declines we've seen so far are only in the 0.75-1.0% range..thats really minor.

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