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mrPiNK

09/02/20 3:29 PM

#12768 RE: tmorr55 #12767

A lot of heading going on with these long positions. Blow off tops on broader markets?

mannken

09/03/20 8:57 PM

#12794 RE: tmorr55 #12767

There was a brief period today where VIX was in backwardation, it's back in contango at this hour

Few things to chomp on

VIX is S&P volatility, can use SPY as a chart reference

SPY was off 3.4% today, standard market correction is 5-10%

10 year yield is still below 1% @ .063, environment for stocks is still favorable with low yields

In the bottom chart, it shows A/D breadth (advancers vs decliners) for S&P and NAZ. The NAZ breadth was clearly diverging negative before the selloff, while the S&P was not, I suspect NAZ has much more selling ahead than S&P, which could put a cap on VIX volatility

SPY channel support