Positive divergence on the hourly.
Wednesday, August 12, 2015
Aug 12 - VIX/ VXO major reversal
After being well north of the upper BB, VIX staged an impressive reversal to issue a black exhaustion candle. Remains to be seen whether it is the real deal, but combined with positive divergences on the 1/2 hr frames, it looks more than likely we will get follow through up in equities.
Bullish candle resting on lower BB. If this fails tomorrow we might see downside to test this year's support.
2 hr frame has positive divergence along two time frames which is setting up for a big move up if it triggers.