T--
Say it ain't so!! You said, "One of the larger mistakes I have made recently was paying any attention to that VIX thing."
You must have been watching a different VIX, or you meant to write "not" between 'was' and 'paying.' :^-)
stockcharts.com[m,a]daclyymy[pb50!b200][vc60][iUb14!La12,26,9]
As you know, when the VIX gets "high" it's time to buy.
But the answer is, even though the VIX might look "high" compared to the last year or so, when you consider "the conditions of the market" (or rather the world), a VIX of 49 is, to me, still low.
In 1987 the VIX went well over 160 and in 1998 with the Russian debacle it went to 60.
So, what you have to ask yourself is, does this economy, does this political situation, does this world situation, seem more along the lines of the 1987 crash or the 1998 Russia has its head up its ass situation?
I don't know where the VIX will go to, I'm going to let the VIX tell me that himself. If it rises to 58 then drifts back down to 54, 52, 51 over the course of 3-4 days then I'll consider it to have shouted out "High!!"
If it keeps rising, then I'll assume VIX has not yet spoken.
Kb |
