With the SPX failing to find support at 850 and financials falling another 6% this morning, the VIX has spiked all the way to 51.03, up 17.9% so far today and up 32.3% from just six sessions ago.
Since the large gap down at the open, today’s action has been more of a slow grind than a sharp panic, suggesting that there could be a fair distance still to the down side. SPX support may come in the 820-830 range, but if those levels fail to hold, the possibility of a drop back down to 740 suddenly looms large.
[source: BigCharts]
December 17th was the last day that the VIX cash index traded above 50.0 intraday. The low intraday trade for the VIX cash index since December 17th occurred on January 2nd at a level of 36.88Time will tell if the SPX 820-830 level holds.
ReplyDeleteI think most stocks are in a large scale consolidation, so no run away markets in either direction. The little bounce in the vix looks about over:
ReplyDeletevix bounce
at least to me.
That's not to say the general trend in the VIX isn't up for the next few weeks or months. It very well could be:
weekly vix
Bu