After this week's market action, I believe the mature beast has finally arisen in the full light of day. In the weeks to come, we should see its might or weakness. At this point, it is anyone's guess what this beast desires and what it might do. I believe we must take into account *all* possibilities. The extended length of time the market gave the beast to mature concerns me. Some might say it is because the beast is slow and weak, and will quickly be slaughtered by the bulls (again). However, consider this: What if it used this time to grow into the most powerful beast ever witnessed?
In the chart i have captured all the most probable end points of the VIX in the coming months. Look scary? This is the time to be prepared and safe. It may all be well and this is just a tame beast to be ignored (again). But if my alternative theories becomes reality, soon there may be nothing safe but cash and shorting.
(Additional technical info: The vix has formed a large and solid first wave base. The Hindenberg Omen has been signalling for weeks. We observe the worst weekly and monthly RSI divergence in *all of history*. All sectors have hit an inflection point and are now starting to trend down. A large structural elliot pattern could be completed. Bullishness is still very optimistic. All asset classes (market, metals, oil, bonds, cryptos) are displaying weakness simultaneously. In fact, cryptos and biotech - equivalent to the nascent tech industry in the early 2000s - are crashing. As an analyst I cannot process all these ominous signals and still be bullish.)
In the chart i have captured all the most probable end points of the VIX in the coming months. Look scary? This is the time to be prepared and safe. It may all be well and this is just a tame beast to be ignored (again). But if my alternative theories becomes reality, soon there may be nothing safe but cash and shorting.
(Additional technical info: The vix has formed a large and solid first wave base. The Hindenberg Omen has been signalling for weeks. We observe the worst weekly and monthly RSI divergence in *all of history*. All sectors have hit an inflection point and are now starting to trend down. A large structural elliot pattern could be completed. Bullishness is still very optimistic. All asset classes (market, metals, oil, bonds, cryptos) are displaying weakness simultaneously. In fact, cryptos and biotech - equivalent to the nascent tech industry in the early 2000s - are crashing. As an analyst I cannot process all these ominous signals and still be bullish.)