Tuesday, December 12, 2006

VIX and Volatility

The VIX is a measure of market volatility. Recently, the VIX broke out of a falling wedge to the upside and then fell back promptly. It looks to me like the VIX is ready to head higher and that could mean the stock market is ready to head lower. Although, with todays crazy manipulated markets, you just never know what is going to happen.