Volatility continues to push higher

With equities seeing renewed weakness in the late afternoon, the VIX snapped higher, settling at the high of day, +16% @ 24.64. Near term outlook is still offering an equity bounce - as corporate earnings appear, with the VIX cooling back to the mid teens.


VIX'daily3

VIX'weekly

Summary

We've not seen these VIX levels since summer 2012, when the VIX peaked in the 27s - whilst sp'1266.

Today's VIX close was suggestive of further upside early Tuesday (probably to 11am) before another attempt for the equity bulls to turn this market around.

Despite the recent equity weakness, I still find it hard to believe the market won't be able to manage a significant rebound by late October... putting in the first lower high - somewhere in the sp'1950/70 zone.

--
more later... on the indexes