I've read some options traders talk about how significantly bullish the VIX action is because it shows people are more comfortable with the market right now. But in my view, at this juncture, people should NOT be comfortable with the market at all. And that high level of comfort is what gets bulls into trouble at major stock market tops, which I believe we're at or near.
The euro has continued to decline impulsively in the short term, but on the hourly chart I only count 3 waves down, so far. Breaking below 1.3832 last night removed the most likely alternate 4th wave triangle scenario which would have lead to a sharp thrust higher before topping. So just like the stock market, as long as the euro continues its series of lower highs and lower lows, we cant continue to gain confidence that a major top is in and start counting the decline impulsively.
Now let's wait for the post-Fed action.....
PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.