Volatility – Weekly Analysis

The volatility candles issued a subtle warning with the September monthly close. Those prudent enough to pay Investing Angles’ humble fees on time were well prepared for what followed. Now the more important question is whether VIX is merely making noise—or quietly preparing for something much larger. In this VIX Technical Analysis, we examine the latest candlestick signals and multi-timeframe structure to determine whether volatility is building toward larger waves—or whether this is just another fake storm before the skies clear again. CANDLES We remember that the S&P 500 Volatility Index closed September with a rather rare Bullish Engulfing, against a technical backdrop last seen in December 2019. The weekly frame then closed with a second bearish failure. Apparently, now we know why. VIX has turned bullish, and the setup is becoming increasingly difficult to ignore. There is now a very solid chance for the index to complete a Tower…