Sunday, August 18, 2019

#VIX Review $VXX

VIX Review
Those that view the message of the market on daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bagholders of trend transitions.

VIX's overall trend, revealed by trends of price, leverage, and time, are defined and discussed in the The Matrix for subscribers.

Subscriber Comments

The key to timing US stocks decline, or consolidation in terms of the Matrix, is recognizing distribution in the VIX. Distriubtion in the VIX should should lead or at least coincide with accumulation in more sensitive stock sectors such as the Nasdaq 100. The VIX's DI fell from 2% to -10% last week. US stock bulls are waiting for readings below -60%. The lower the numbers, the greater the distribution and likelihood that stocks will rally against the prevailing bearish consensus. WA falling below 20% is also common to bottoms. This should be the focus for subscribers in August and September.

VIX DI


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Market-driven money flow, trend, and intermarket analysis is provided by an Insights key.