VIX crushed lower

With equities building significant gains across the day, the VIX was ground lower, settling -7.0% @ 13.45 (intra low 12.96). Near term outlook is for further equity upside to the 2150/70s into early July, which should equate to the VIX remaining very subdued in the 14/11 zone.


VIX'60min

VIX'daily3

Summary

Little to add.

With an apparent cycle floor of sp'2072, the equity bears could only manage a VIX in the mid 15s... it is frankly... lame, and highly indicative of the continuing underlying strength in the US (and most world) equity markets.

The big VIX 20 threshold looks out of range until mid/late July. At best.. if a sig' equity correction in the late summer, perhaps we'll see VIX 25/35s, but such levels will not be sustained for long.

For the moment, there seems zero point in being long VIX, whether option calls, VXX, or the decay prone TVIX/UVXY.

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more later.. on the indexes

Closing Brief

US equity indexes closed significantly higher, sp +25pts @ 2105 (intra high 2108). The two leaders - Trans/R2K, settled higher by 0.7% and 1.4% respectively. Near term outlook has turned bullish, with a cycle low of 2072. Further upside into the FOMC of June 17th look due.. if not somewhat beyond to the 2150/70s.


sp'60min

Summary

*a choppy closing hour, but nothing for the bulls to be concerned about.
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A decisive break above resistance.

Regardless of any minor weakness tomorrow morning (if any)... its a pretty clear change of trend. sp'2072 is likely a key short term floor.. and now we're seemingly headed higher into next weeks FOMC.

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more later... on the VIX

3pm update - a day for the bull maniacs

US equity indexes are set to close with very significant gains, with the sp'500 comfortably over the key 2100 threshold. VIX is confirming the utter market complacency, -8% @ 13.20s. Gold is set for a third consecutive net daily gain, +$10. Oil is +2.3%


sp'60min

VIX'60min

Summary

Little to add.

We have a decisive break above resistance, along with a viable spike floor of sp'2072 - a 62pt (3.1%) decline from the recent high.

The sp'2120s appear well within range before the weekend. New historic highs in 'some' indexes looks probable before the market maxes out this summer.
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notable weakness, Sears (SHLD) -18% in the $29s... as the market is increasingly upset at the 'REIT' issue.
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back at the close.. to wrap up the day