Above is the daily chart of Volatility Index of S&P500 Options (VIX). After testing the support level three days ago, the index started to rebounce.
Back to the end of February, VIX broke out and was rising. Japanese tragedy brought the index even higher, reaching 3Q-high.
This high was exactly 50% fibs-level using the highest and lowest level as reference. Then, VIX was unable to climb higher and fell, reaching the support at around 17.4.
I expect the bounce would lead VIX to reach 23.6%-fibs level at around 22.7. So there should be a boost in volatility in coming few days.
No comments:
Post a Comment