Monday 29 June 2015

VIX soars into the upper teens

With world capital markets riled by the ongoing Greek crisis, the VIX opened sharply higher, and built powerful gains across the day, settling +35.1% @ 18.94. Near term outlook offers further equity weakness, with next resistance in the 20/21 zone.


VIX'60min



VIX'daily3



VIX'weekly


Summary

*closing hour saw further equity weakness, helping VIX break into the 19s, for the first time since February.
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The bigger VIX weekly cycle has been warning of a break higher since mid May. Today's sustained action >17, has opened the door into the low 20s. As ever though, it will be difficult for the VIX to hold above the key 20 threshold for more than a few days.

More significant VIX upside looks due in the late Aug/Oct' time frame. A move into the 30s looks just about viable... if sp' sees a sig' correction <2K.

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*I exited a long VIX position this morning, will be looking to get involved again in the VIX in August.. and across September.

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more later.. on the indexes