Tuesday, July 15, 2008
The VIX reached intraday the 30 but we are not finished yet. The day performed the volatility (down up down) which is an early indication of an low. One factor has definetely kicked in OIL topped out. The XBD is ın week 12 combo thats the other factor we were looking for. NDX reached 1780 and Dow 10800. SPX has a liitle bit space since 1175 is the 50% retracement level. Basically the target for XBD was reached and BKX fully but we still need a bit capitulation and a Friday with expiration might just do the trick. We need a bit more volatility and testing lower ground 1-3 % intraday over the next days. Vix intraday above 31 even next week (early). We already have the pathetic defense with SEC trying to stop or at least make it tougher to short GSE's and Brokers. Not to forget that Bush is optimistic on the economy - that should help to get a low anyway.
Posted by getagrip at 4:51 PM