Well, the base held and THAT is THE most important factor in seeing this current chart set up remain a going concern. Caveat : there have been many nice looking reversal set ups for VXX/ UVXY that have failed after days/ weeks of establishing a base.
With this set up though , there seems to me more potential because of the large candle two Tuesdays ago. That type of pseudo “inverted hangman” candle ( long upper wick ) has been a hallmark indicator of VXX getting keyed up to go in the days / weeks following said. It was crucial that the candle occurred after a sustained period of VXX selling ( all the time ? Lol) . In these cases where we see that type of candle in the right condition, the next indicator is that the base/ bottom/ (Support) holds for a period of days/ weeks after. That is what we’ve seen thus far , so two indicators are met . The next thing that could occur prior to a big move up is a “ deke” or head fake . Meaning one singular day where it looks like the base will fail and it makes an intraday come back leaving a long bottom wick ( “ hammer” candle). That candle is not always seen or needed before VXX takes off. Given that, we could see VXX take off from this level , and that possibility remains viable unless : until VXX closes below the base formed currently .
This is all based on past observation , and the past is not always prologue.
“ history doesn’t repeat itself, but it does rhyme “ ~ Sam Clemons
