VIX

The VIX has popped more on this sell off as well, getting over its 50 day Boll Band. However, it is at a point that has proven to be resistance in the past. We are also over sold on the McClellan Osc. and as a % vs. the 5 day average. Thus, I would not be surprised to see some sort of pop here. The real question will be: what happens if the VIX trades back within its Boll Band, as this is a well known bull signal. The quality and extent of the next rally will give us good information on this market. Also, many E Wavers think we are in the 3rd of a third (within the big 1st wave) down... so will we just keep going? If we do, it certainly would verify their count.