Professor’s Comments Update August 19, 2013
Posted by professor at August 19th, 2013
The Dow is currently down about 25 points, trading at 15,050. It reached a low of 15,033 earlier today..
The decline has caused the Volatility index to move above its Upper Bollinger Band.
Just after the 2pm mark, the VIX is trading at 14.92. This puts it slightly above its upper Bollinger Band located at 14.73 and generates a VIX Buy Signal set-up.
If the VIX stays above the upper Band at the close, it will generate an important VIX Buy Signal the next time it falls below the upper Band. I would expect this to happen within the next day or so.
Watch for the signal.
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Category: Professor's Comments