Maybe you noticed, or maybe you didn’t.
The VIX closed below 12 today for the first time since August 5, 2013.
That break last summer coincided with the start of a 4.5% S&P 500 slide over the next 3 weeks, which is just what tends to happen when extreme complacency arrives.
This fear index isn’t forbidden from going lower, but historically this has been an area it has held. Any turn down in the market would coincide with a VIX lift, so it’s something to keep an eye on here as the S&P again deals with key resistance where it has failed a number of times in the past two months.
Trade Like a Bandit!
Jeff White
Take a trial to the Stock Pick Service to get my trades.
When the VIX is high,it’s time to buy….when the VIX is low it’s time to go! Maybe?
Pretty good Jerry – thanks for stopping by!
I have just about made a determination to try your service. After a couple of medical issues I will be ready shortly. My only concern is that I want to continue to screen and trade my own picks and I want to use you as a learning experience not as a crutch. I have been trading for years with “mixed results” and perhaps with your help I can get more consistent . Thanks
Jerry Singer
Hi Jerry, would love to help you. And by the way, this is not a “follow all my trades” type of site. The aim here is for me to not only share my trade plan but give you a look at my daily process and the kinds of plays I’m focused on and why. This is my trading plan, available to you.
I make no suggestions to do what I’m doing, and I like to reinforce regularly that same idea that this is here to help traders in their own ways, not to create a following of my trades. After all, I’m simply following the moves of institutional money and am not trying to create my own wave – just want to ride the ones they make!
Here, you’ll gain some insights and some additional ideas to add to your own, with the aim of improving your overall process. And of course I’m here to help along the way.
Looking forward to seeing you around.
Hi Jeff,
I’m looking forward to trying your service, but I literally lost thousands of dollars day trading the past 6 weeks, and I’m short on cash right now. When I get some cash, I want to try day trading again with prop money. Do you think you can suggest some good trades or strategies for day trading? I anticipate having money to try again by June 6th, so right now I’m just biding my time until then. If you can help me with some successful trades, I would be more than happy to become a regular subscriber to your service.
I have a small position in FB right now, and it had a nice pop today, but it has to get back to $62.00 before I break even. Hopefully it can break out of the sideways trend and go on a nice run. But the market has been very choppy this year, and it’s been very hard to make any money. In fact, I have lost many thousands of dollars this year, and am becoming very disillusioned trading. It’s gotten to the point that it’s amazing to me that anybody can make any money at all trading stocks. Color me skeptical. Hopefully you will be different.
Hi Steve,
Thanks for your comment. This year we’ve definitely seen a lot of choppy price action, which to me has emphasized the importance of shorter timeframes (day trading). There have been some exceptional single-day moves out there, and I expect we’ll see plenty more even if this range persists in the indexes.
As for trades and strategies, I share those nightly with members here and look forward to seeing you on the inside. In the meantime, check out my day trading strategy page for some general guidelines I use in my own day trading.
See you soon!
Could this be the start of a period like 7/2006 – 2/2007 – smooth uptrend where VIX was in 10-12 range most of the time?
Hi Dirk,
That’s a possibility, yes. We have to keep an open mind at all times in the market.
My hesitation in expecting that right now though is that over the past few months we have not been trending higher and instead the S&P has repeatedly tested (and soon after failed at) the 1883 level. When major resistance is holding its ground and the VIX is hitting the dirt, the conditions are just more favorable for a market pullback.
That’s no prediction at all, just my perspective after doing this so many years. If we break out and head higher and the NAZ/RUT follow suit, then I’ll be a bull as I am never interested in fighting the trend when one exists.
Appreciate your comment, make it a great day!