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Volatility – Daily Update

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Looks like yesterday’s playbook hit on cue—beautifully. If you missed it, you’ll wish you hadn’t. With fresh prints in hand, let’s map the next moves and stack the odds.

CANDLES

Following yesterday’s closures, we did get a spike today. By the close, however, it was fully nullified, and all instruments I track printed very bearish daily candles. The exception was VIX (1st chart), which formed a Dark Cloud Cover—escaping a Bearish Engulfing trap. That pattern can delay a move lower by 1–3 days, allowing volatility to consolidate before rolling over.

A mirrored response from the market would be typical: brief consolidation for a few days, then a push higher.

Happy Trading!