VIX update

VIX has now put in two bars on this chart that show intially a new low, and then a movement to go positive on the day. It's a snapback to moving averages on the hourly chart.

The VIX level has not yet gone back to or above 33.81, the key level we've been looking at. Was this morning's new low, along with the QQQQ's above the 35.18 level, one of those "head fake" false signals that Raymond Merriman warned us about, in his comments last weekend? Possibly, since today is May 7! In which case, we need to be alert for these for a period of some days (use the MMA/Merriman label at right to go back and read his comments again if you didn't see them before).

For swing positions, the right idea is to look for VIX closing above 33.81 again, with subsequent confirmation of a reversal movement. A trigger like that is always the right idea, along with looking for confirmation. Fortunately, we have the 33.81 level in VIX to use as a guidepost.