VIX unrelation comments

    Posted by matt on 13th of Dec 2022 at 09:14 am

    $VIX - Chart Link - listen I know it's easy to say this now in hindsight after the fact but it's something I've pointed out before

    the uncorrelation this time in my opinion was suggesting an upside move, why?

    As you know when the VIX becomes uncorrelated it occurs near a market inflection big move typically.  In my observation on the chart, if price has been uptrending and you get the uncorrelation, usually that would mark a high. If price had been down trending recently, it usually marked a move higher - and recently price had pulled back for a couple weeks - the reverse move would have been up, not down. Yes, yesterday was up, but overall still in that small downtrend move. You can look over the chart - and there are plenty of times when that move is only 1 or a couple days, and other times when it markets a trend

    again, at the end of the day it was about the CPI and if it hadn't come in where it had, price would not have had the move, also these days everyone is hyper positioned for short term moves. The big reason why the VIX spiked uncorrelated yesterday was because of all the hedge buying ahead of the CPI 

    Regarding $VIX, big gap down

    Posted by timebandit on 13th of Dec 2022 at 09:26 am

    Regarding $VIX, big gap down today will leave an island top, and Bollinger Bands were already flaring from the gap up.

    UPDATE: Or not - just a big red candle

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