Wednesday, January 30, 2013

Volatility

I showed you the charts, how they all had the same signals, the Bollinger Band Squeeze in the VIX which can also be a short term area for loitering, I'll show you.

 The daily chart is looking good in the VIX. The VXX and UVXY have so far seen confirmation on the afternoon moves.

 Note that protection continued to be bid after the F_O_M_C.

As the BB's pinch, it makes a good area for a head fake move below the band, but at this time I'm more interested in the highest probability trade which is a move toward trend 2 (down) so any short term strength will be used for tactical purposes.

No comments: