Wednesday, 28 October 2015

VIX forms a clear spike floor

With another FOMC announcement, the VIX was briefly flash-crashed to 12.80. Despite renewed equity upside in the closing hour, the VIX closed well above the spike low, settling -7.1% @ 14.33. Near term outlook is for the sp'2K threshold.. and that should equate to VIX in the 18/20 zone.




We have a very clear spike floor in the VIX 12.80, which gives some clarity that we're very close to a short term equity peak.

However, sustained action above the key 20 threshold looks difficult.

more later... on the indexes