VIX continues to cool

With equity indexes closing broadly higher, the VIX was lower for the seventh consecutive day, settling -5.2% @ 18.39. Near term outlook threatens the sp'1950s.. but more broadly.. the 2040/60 zone, which would equate to VIX in the mid/low teens.


VIX'60min

VIX'daily3

Summary

*it is notable that the hourly 10MA is holding as strong initial resistance
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Little to add.

VIX remains very subdued, the 17/16s will be due tomorrow, if sp'2000/2010.

By end of next week, if sp'2040/60 zone... then VIX 14/13s. Sustained action <13 looks unlikely.

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more later... on the indexes

Closing Brief

US equities closed broadly higher, sp +15pts @ 1995 (intra range 1976/99). The two leaders - Trans/R2K, settled higher by a significantly 1.4% and 1.7% respectively. Near term outlook threatens a retrace to the 1950s, but the 2040/60 zone looks probable within the next 7-10 trading days.


sp'60min

Summary

*closing hour action: further chop, but with renewed upside into the close... absolutely nothing for the equity bears to pleased about.
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So.. a bit of a messy day in market land.. but broadly.. another day for the bull maniacs.

Clearly though.. there are distinct areas of weakness out there.. in the same stocks that were warning of trouble in early August.

Regardless of any weakness/retrace.. the sp'2040/60 zone still looks probable before next opportunity of major down wave.

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more later... on the VIX

3pm update - increasingly choppy

US equity indexes are set for net daily gains, but price action sure is choppy... and there remains threat of a retrace to the sp'1950s.. before the next attempt to break back above the psy' level of 2000. There is renewed weakness in Oil, -1.8% in the $47s.. having hit $49.71.


sp'60min

USO'daily2

Summary

*Oil is a curious one, as if it can break >$50... there is a clear 5/7$ higher.. within the very near term, and that would be the perfect excuse for sp'2040/60 zone.
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On balance, we look set for net daily gains... with VIX set to close lower for the 7th day.. in the 18s.

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notable weakness: FB, -1.2%.. along with most other momo stocks.
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3.33pm.. It remains notable that with the sp +0.5% or so... AAPL/DIS are both lower by around -0.5%

There sure is weakness out there.. despite the broader gains.