VIX crushed lower

With equities breaking into the sp'2120s, the VIX was crushed lower (intra low 12.54), but settling -9.0% @ 13.19. Near term outlook is uncertain, with threat of another minor wave higher to sp'2135/40... or if the Greeks upset the market cart.. then a break <2072... probably equating to VIX 16/17s.


VIX'60min

VIX'daily3

Summary

Not surprisingly, the VIX has fallen to the price gap zone (see 60min cycle), but kept on going to the mid 12s.

Considering the ongoing.. and building Greek situation, VIX 13s is clearly a gross mis-pricing.

A move to VIX 16/17s looks viable in the immediate term, although 20s look difficult until a Greek default occurs.

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more later... on the indexes