Thursday, September 18, 2008

VIX hit over 42 today! Up from 20 last month

VIX rising in an hour from 37 to 40 is extreme - it means something EXTREME is going on - in this case - lack of liquidity.

Markets bottom in these situations and they also can accelerate.

Be extremely careful.

These are huge opportunities, as you can see the DIA rallied sharply from that 42 VIX reading.

Bonds are extremely vulnerable since they didn't RALLY when stocks were dropping off sharply.

Tim
1:23PM

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