Yes, but often the best moves come on the day it moves back
below the upper band like today. The simple reason is that with the
VIX above 2 standard deviations (upper band) its typical for the
SPX to be the reverse (quite oversold) and thus both in need of
some type of relief. The chance of such relief unfolding is
supported by the VIX moving back within its upper band (such as
today).
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Vix buy signal?
Posted by coolhat on 13th of Jun 2013 at 01:09 pm
Hi Steve,
If vix closes today within BBands after closing outside yesterday, does it qualify as a buy signal?
Thanks.
Yes, but often the best
Posted by steve on 13th of Jun 2013 at 01:18 pm
Yes, but often the best moves come on the day it moves back below the upper band like today. The simple reason is that with the VIX above 2 standard deviations (upper band) its typical for the SPX to be the reverse (quite oversold) and thus both in need of some type of relief. The chance of such relief unfolding is supported by the VIX moving back within its upper band (such as today).