Today's Chart of the Day from this morning's Early Look by CEO Keith McCullough goes into FLOWS and the relationship to Vol of Vol (ROC of Volatility).
As a reminder, The Mucker Model for asset prices = PVV:
- P = the ROC (rate of change) of PRICE
- V = the ROC of VOLUME
- V = the ROC of VOLATILITY
As anyone who doesn’t live in a 20th century Linear Econ textbook knows (on how Asset Prices really TREND) WHEN Vol of Vol breaks down, The Machine is readying to FLOW more $$$ into those Assets.
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