Disclaimer: The information found on this site is meant for educational and informational purposes only. Nothing on this site should be construed as a recommendation or solicitation to buy or sell derivatives or securities or to trade any particular strategy. Trading of derivatives or securities has large potential risk and you must be aware of and accept all the risks. Past performance of any trading system or methodology is not necessarily indicative of future results. No representation is being made that any account will or is likely to achieve performance results similar to those discussed on this website. Hypothetical or simulated performance results have certain limitations and do not represent actual trading.

Tuesday, April 10, 2012

Snapshot of FVE Indicators & More.

- As expected, volatility rose at a quicker pace the past two days.  Both VIX & VIX April Futures have risen above FVE & FVE Futures indicators, respectively.  This is very common and as you can see from the second chart, VIX Front-month Futures can easily go greater than 10% above FVE Futures indicator.

- Still, I wouldn't be surprised if volatility stops for a moment to catch its breath--considering short-term channel trendlines on both VIX Futures and SPY.

- Admittedly, the technical picture in SPY looks mixed.  In the short-term, SPY has approached what looks like a significant support range 134.3 - 135.7.  However, when we look at the longer-term channel lines, SPY seems vulnerable to much further decline, technically speaking.

No comments:

Post a Comment