Stock Market Volatility Died

Is Volatility Going to Wake Up?

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  • Since the August stock market low, volatility has declined, albeit with some twists and turns.

    Traditionally, the volatility is subdued during the Holiday season.

    In today's issue, we will explore what we can expect from volatility index ETF, VXX, this holiday season.

We’d like to take break in our “regularly scheduled programing” to say Thank You for your responsiveness to our sponsors’ and partner ads, it greatly helps us publish this newsletter for free.

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VXX Short-Term Cycles

  • A short-term cycle composite comprising cycle detected on 1H VXX chart suggests that volatility as represented by VXX may pick up within a couple of days.

  • The cycle composite obtained from the 4H VXX chart also suggests that VXX may wake up any day now and rise toward mid-December.

  • Then, VXX may decline into Christmas and again rise into the New Year Day.

  • Perhaps not as calm as many would expect based on history.

  • Are traders going to front run the Santa Clause rally and sell the market after Christmas?

  • As of now it looks so. However, short-term cycles vary and this is tentative forecast. We will track volatility daily in the Market Twists & Turns Pro.

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    • Yesterday, we posted Bitcoin Top? – Part 2.

    • This video explores long-term bullish Elliott Wave charts of Bitcoin that we posted in the Pro newsletter 10 days ago.

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Look out for Wednesday’s newsletter. We will revisit AAPL.

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