Wednesday, 23 June 2010

16:15 BST - VIX Update

The 60 min chart of the vix is in a similar position to the dollar chart I showed on Monday, giving signs of a potential change in the 60 min trend:

Vix 60 min chart:

As explained on the chart, we need to see price get above the cloud and the lagging line to follow. On any pullback in price, the lagging line should stay above prices from 26 periods ago, otherwise, the risk is that this little rally was nothing more than a retracement in a continuing downtrend - see the area I have circled on the chart.