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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?


To: Clay M who wrote (37625)3/27/1998 2:01:00 PM
From: The Jedi  Read Replies (1) | Respond to of 58727
 
When the VIX peaks then it is overbought and that means the market is oversold. Look at 3/5/98 VIX created a small peak and that was short term bottom for DJ30.

I think using an indicator on VIX is a better way to go. Maybe RSI or Stochs to call for short term turns.

The problem is that using absolute numbers can be misleading as the VIX can have long term trend going up or down.

Kiri