Watching VIX


Interesting behavior exhibited by the volatility index.

Note the index dropped recently to the 200 day MA.  It then went up and tested the 50 day MA and quickly has broken through that level of resistance.  The upward momentum in VIX may mean continuing downward pressure for the S&P.


  1. Other way around. Continuing dwp on s&p means higher vix as the blood hits the water. Lots of churn ahead in markets. The vix is reflecting that.

  2. Well said kwality. Downward pressure in the market causes volatility, not the other way around. What I find fascinating, is the consistent behavior of the market, whether we look at the Dow, S&P, XLF or VIX. The 50 and 200 day MAs seem to act as support and resistance levels quite consistently.


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