• 2 hours BHP Turns Bullish On EVs
  • 4 hours Investors Turn Bullish On America’s Nuclear Decommissioning Business
  • 20 hours The $90M Inflatable Rabbit Redefining Modern Art
  • 23 hours Huawei’s Fate In The Air
  • 1 day Tesla Slashes Prices Again
  • 1 day The Modern History Of Financial Entropy
  • 2 days Italy’s Central Bank Embraces Sustainable Investing
  • 2 days Trump Lifts Metals Tariffs To Cool Simmering Trade War
  • 2 days Researchers Push To Limit Space Mining
  • 2 days Could China Start Dumping U.S. Treasury Bonds?
  • 3 days Is Winter Coming For HBO?
  • 3 days Rise Of EVs Signals Peak Gasoline
  • 4 days Jeff Bezos Doubles Down On Space Colonization Ambitions
  • 4 days Gold Mining Stocks Stuck In Limbo
  • 5 days Executive Order Targets Huawei Over Espionage
  • 5 days Why Now May Be The Best Time Ever To Hold Gold
  • 6 days Fake News Sinks Shares In UK-Based Bank
  • 6 days De Beers To Build $468 Million Diamond Recovery Ship
  • 6 days Moody's: Turkey Faces Possible Credit Downgrade
  • 6 days Tesla's Solar Sales Are Slipping
How Millennials Are Reshaping Real Estate

How Millennials Are Reshaping Real Estate

The real estate market is…

Strong U.S. Dollar Weighs On Blue Chip Earnings

Strong U.S. Dollar Weighs On Blue Chip Earnings

Earnings season is well underway,…

  1. Home
  2. Markets
  3. Other

Elliott Wave Analysis On VIX Index And The SP500

What is VIX Index? It's an important market that gives you an idea how much fear is involved during bear market period on stocks, which is in play for the last few weeks. Well, what is interesting to me is that this market is selling off ahead of important US elections, but events like this can be trend changers. In other words, they can cause some reversals. Simply put, investors will adjust their positions which may have an impact on price move. So if trend will change on stocks, then this will be from bearish to bullish side.

Those who follow me closely will know that I am tracking final stages of a corrective retracement on S&P500 from August highs. It's a three-wave decline at the moment, so technically I would be expecting a bounce towards the end of the year.

S&P500, Daily

S&P500 Daily Chart

And if I look at the VIX index, then we can also say that price is in final stages of a current corrective structure, thus it also suggests a turn down, ideally from around 22-25 area on a continuation contract. Pattern on VIX tells me that the next important leg will be lower which is obviously matching with our count on stocks. Also, lets also not forget to mention an important trendline resistance on VIX, connected from 2016 highs.

VIX, Daily

VIX Daily Chart

 


Interested in our services? We have a Special Offer: Get 14 Days Access For 1€!! Grab the opportunity now at www.ew-forecast.com You can even subscribe to our Twitter account -> @ewforecast

 

Back to homepage

Leave a comment

Leave a comment