They're Baaack.... Volume and Volatility that is!

09/04/08 10:52AM EDT
September volume has accelerated well above the levels the US market saw in August. The negative volumetric "Trend" in this Bear market remains. Rallies are to lower highs on low volume, while selloffs to lower lows are met with heightened volume.

At the same time, the Volatility Index (VIX) is breaking out this morning, trading +6% at 22.65 as the US market hits her intraday lows. From a quantitative perspective in my model, a VIX trading anywhere north of the 21.63 level is bearish for US stocks.

From a risk factor perspective (for those of you who manage risk), these are two glaringly obvious facts. Both are "Trends". Both are negative.

Be careful out there,
KM
(picture: http://images.quickblogcast.com/860/grizzly.png)
© 2020 Hedgeye Risk Management, LLC. The information contained herein is the property of Hedgeye, which reserves all rights thereto. Redistribution of any part of this information is prohibited without the express written consent of Hedgeye. Hedgeye is not responsible for any errors in or omissions to this information, or for any consequences that may result from the use of this information.