While there has been a continuous rise in stocks to ATH almost daily, the power of volatility has been brewing. There is very little upside remaining in SPX (ES1!) IMO. the risk for 1%-4% more may not be worth the 10%-20% correction that is coming very soon. There will be a limit down day very soon, that is not an opinion but a very very likely situation. many will not be aware of this or prepared for it when it happens. As always trade smart, emotionless, and follow price. I have admired watching this run since march, however I have been out of most of personal longs since august. I have traded swings since then and allow my work here to guide others for the coming storm. Cheers.
Hi, I appreciate your chart. Just wanted to see your thoughts on this. I am now seeing inverse head and shoulders on VVIX targeting 235. Am I seeing/measuring it correctly?
tfinavia
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@Voltref I meant 205 not 235. So I guess your depiction here is pointing to the same area.
Voltref
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@tfinavia, hmm i wouldnt look too much into the "technical" shapes you see via the VIX or even the VVIX. Since these are spots and not moving, tradeable assets, it can mislead (and cost you) to view them this way. Instead look for the basics: divergence, price actions, and sentiment. Only then can you see these for what they are: clues. You have to take into account what many other tickers are doing. (SPX, DXY, USDJPY, BC, OIL, etc.) so many moving parts in this trade. I try to keep my macro thesis different than how I trade day to day because that is the only way to stay solvent while this madness continues. Hope I could help some. Cheers.