In the past week, the market saw a decrease in volatility , which accompanied the relief rally in the stock market. However, just recently, we stated that we expect the rally to be shortlived and to reverse its direction to the downside. We continue to hold this notion also nowadays; indeed, we expect an eventual breakdown in the stock market and new lows to be...
As you probably know, Implied Volatility in assets like Gold or Silver has the tendency to rise when the price of the commodity rises sharply, unlike equities where IV rises when equity's price declines.
This means in case of Gold (GLD), when V.R.P. rises, and we have a PREMIUM in Implied Volatility, participants Iin the market think price will either continue ...
The signals on the 4 hr chart suggest that volatility on the S&P 500 should spike within the next day or so.
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