It shouldn't be surprising that when both bears and bulls are less-than-certain about their prospects, the safe place to return to is the . This is what results in the gradually diminishing swings.
Yes, this is terribly sideways, and would seem to indicate nothing at all for future movements - but a study of every other selloff and consolidation since november shows that when the consolidation bias is level/ascending, a rise comes next. When the consolidation bias is descending, a selloff is imminent.
Thus, while I can't say just when this narrowing will finally breakout, the strong supports and horizontal bias of this floor is inherently a sign.