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Chart of the Week: VIX

Posted By Barry Ritholtz On October 16, 2003 @ 1:58 pm In Finance | Comments Disabled

The recent VIX break below 18 (below 17) has been associated with substantial pullbacks over the past 3 years. Note the Blue circles correspond to VIX lows, while the Red are VIX highs. The Yellow circles were below 18.

Nasdaq versus VIX, 3 Years (weekly) click for biiger view
Nazz VIX weekly [1]
Source: ILX [2]

Nasdaq versus VIX, 6 months (Daily) click for biiger view
Nazz VIX comp [3]

There remains a voracious institutional appetite for stocks, and that may very well temper the downside of any correction.

Random Items
Bubble headed logic [4]
Sony to work with Intel on mobile music tech [5]
Tidal wave coming of metals? [6]
Behind the theory of disruptive success [7]
Are We In for a Seven-Year Rally? [8] (long term)
The Rally May Be Running Out of Gas [9] (short term)

Quote of the day: “Our instinctive emotions are those that we have inherited from a much more dangerous world, and contain, therefore, a larger portion of fear than they should.”
-Bertrand Russell [10]


Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2003/10/chart-of-the-week-vix/

URLs in this post:

[1] Image: http://bigpicture.typepad.com/comments/Nazz VIX weekly.html

[2] ILX: http://www.thomson.com/common/view_brand_overview.jsp?section=financial&body_include=/financial/brand_overviews/ILX_Workstation&page_mode=full&subsection=null&secondary=null&subnav=prodaz&tertiary=null&product_name=ILX_Workstation_

[3] Image: http://bigpicture.typepad.com/comments/Nazz VIX comp1.html

[4] Bubble headed logic: http://cbs.marketwatch.com/news/story.asp?guid=%7B3C50B06E%2D3C4D%2D4E50%2D96CF%2DDED4DE6DAF57%7D&siteid=mktw

[5] Sony to work with Intel on mobile music tech: http://www.theregister.co.uk/content/68/33427.html

[6] Tidal wave coming of metals?: http://cbs.marketwatch.com/news/story.asp?guid=%7B2456ABEB%2D25C7%2D4ACB%2DB802%2D8F00A502C9FE%7D&siteid=mktw

[7] Behind the theory of disruptive success: http://news.com.com/2010-1008-5091310.html

[8] Are We In for a Seven-Year Rally?: http://www.thestreet.com/_tscfoc/funds/supermodels/10119600.html

[9] The Rally May Be Running Out of Gas: http://online.wsj.com/barrons/article/0,4298,SB106623162154527000,00.html

[10] Bertrand Russell: http://www.mcmaster.ca/russdocs/russell.htm

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