The TradingEdge

[rimshot]

the direction and levels for the daily SPX:VXO ratio smoothed by the 3-day ema is worth monitoring for clues as we go forward

* this smoothed ratio value is at new highs for the current advance
(chart by "mss")

http://stockcharts.com/c-sc/sc?s=$SPX&p=D&yr=0&mn=1&dy=0&i=p29815966142&a=96043282&r=847

daily VXO chart -

* notice on this chart that OEX and INDU diverge from the other index price configurations with respect to daily close highs above the prior 2010 highs ..fyi, the horizontal values on the index charts are derived from the August/Nov 2008 intraday price action levels

* daily close in the future above VXO $23.38 will be required to validate a double-bottom price formation IF one is developing here