Despite the indexes closing with moderate gains, the VIX closed a little higher, settling +1.9% @ 16.81 - having earlier floored at 15.99. Near term price action could be a bull flag, with good upside to the 18/19s..or even 20/21, on the next equity wave lower.
The VIX certainly slipped lower in the morning, but there is underlying upside in volatility - as seen best on the daily/weekly cycles.
VIX looks set for another jump higher, whether tomorrow..or early next week.
First reasonable target is the 18.50/19.50 range, although if the market gets briefly spooked, a ramp into the 20/21 area looks viable - the latter of which should equate to at least sp'1615.
more later, on the indexes