Volatility melting lower again

With the main indexes seeing some moderate gains, market volatility is back on the slide, with the VIX -6.4% @ 15.54. The black-fail daily candle of Monday has been confirmed, and a move to the low 14s is viable as early as later this week.


VIX'60min

VIX'daily3

Summary

One thing is indeed clear, yesterdays daily candle (and indeed opening hourly candle) were both real warnings to the equity bears that the market has likely put in a floor at sp'1674.99..with a VIX spike high of 17.49.

All those expecting VIX in the 20s - on the basis of a US govt' shutdown, are clearly utterly bemused at the past two days. I really understand, but its not like we've not seen the market react this way before.

If equities can rally back >sp'1710, then VIX in the 14s..if not 13s. looks likely within 3-7 trading days.
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more later..on the indexes