Oversold Bounce and Volatility (or lack thereof) could mean big changes coming
Yahoo Finance’s Kristin Myers and Chris Vermeulen discuss the latest market volatility. The markets are at a really critical turning point this week. The financials, technology, and energy sectors have all broken below their key 20- and 50-day moving averages. Further, the Volatility Index is trading slightly positive or flat (today). Considering the stock market is up so big, the VIX should be collapsing and dropping. We saw this pattern a couple of weeks ago where the VIX moved up with the stock market. It was just before the market had a big bout of selling.