Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.
As I also explained last week, the probability of a TAIL Risk Event (i.e. stock market crashes) was rising alongside the aforementioned TRENDING volatility breakouts in both the Russell and NASDAQ: A) #RussVol (RVX) closed the week in the Bad-Word-Volatility Bucket at 36.25 And front-month SP500 Volatility is now signaling that the probability is rising for a VIX breakout > 30. Will the new puffer fish Fed perpetuate a TRENDING breakout in VIX? The Machine is daring them to play that game of chicken with markets. |