Wednesday, September 03, 2008

Volatility - Nasdaq 100:S&P

I borrowed this chart from Bill at Vix and More, but the relationship sits at an important juncture. After Tuesday's sell off the relationship in volatility between the Nasdaq 100 and S&P looks set to change with a new downswing in the S&P favoured.

At one level the VIX may have already broken resistance which may see a break of closing support for the S&P today:

Dr. Declan Fallon, Senior Market Technician, the free stock alerts, market alerts and stock charts website