Tuesday, January 12, 2010
The VIX is diving now into the exhaustion area of 15-20 and we are 1-2 weeks away from a shift in the tide.Vol should be bought on any dip the next days as we are about to see the first reaction to the 30 levels soon. The scenario does get to the point for the market to make the low. For stocks price and time levels have been reached and are ready to turn in order to retest the lows - actually they need to make new ones. So we will have to build a bottom which will take its time - a few weeks of volatility in the 15-25 area before the more severe move should start.
Posted by getagrip at 6:31 AM