Today's chart shows the daily movement of the VIX versus the S&P
500. The VIX closed at 16.15 yesterday, and the VIX remains in positive territory.
However ... We have been commenting that: "investors should start paying
attention to where the VIX is in relationship to fan line number 5 on today's
chart. That resistance line and the support line intersect and form an apex
that will be reached before the end of February.
These two lines indicate that the VIX will come under the "squeeze" of a converging
resistance and support line. The result? A break out before the final apex
is reached.
The declining lower/highs can't get much lower and still stay within the descending
triangular formation. That suggests, that when the VIX does have its breakout,
it will be to the upside and it will be a market negative. So, investors should
keep their eyes on this VIX pattern from now until the end of February. (FYI:
This chart is updated every day on our paid subscriber site.)
Marty Chenard is an Advanced Stock Market Technical Analyst that has developed
his own proprietary analytical tools and stock market models. As a result,
he was out of the market two weeks before the 1987 Crash in the most recent
Bear Market he faxed his Members in March 2000 telling them all to SELL. He
is an advanced technical analyst and not an investment advisor, nor a securities
broker.
StockTiming.com is dedicated to
Stock Market Investors who want the best information on stock charts, stock
market trends, stock market timing and technical analysis.
Be My Guest and Take Advantage of Our Free Membership ... Get a Free
Membership to StockTiming.com ... Youll receive important daily messages before
the market opens and direct links to todays important web pages. Information
and messages that are often not posted on our website. There is no obligation
or expectation on our part ... it is just our way of proving our accuracy and
timing expertise to you. Please click here for your Free
Membership.
Circle Us