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The VIX below 15 is low? The realized volatility on the S&P 500 over the last 7 days is...

The VIX below 15 is low? The realized volatility on the S&P 500 over the last 7 days is 1.87, according to a trader (the VIX measures expected volatility over the coming 30 days). It may not be a record as he has spotted a 7-day period in June 1996 when it measured 1.28.
Comments (6)
  • The Money Man
    , contributor
    Comments (16) | Send Message
    I cant decide whether this is a bullish good sign or an ominous calm before the storm
    15 Aug 2012, 04:47 PM Reply Like
  • User 502794
    , contributor
    Comments (122) | Send Message
    precisely. measures of volatility - which is what the VIX is - do not signal direction. somehow this thing has morphed into "the fear index" and when it is below 15 there are bad things to come. hogwash, its just not true...there are plenty of instances when readings below 15 have presaged big upmoves
    15 Aug 2012, 04:58 PM Reply Like
  • LarryWh
    , contributor
    Comments (279) | Send Message
    Money Man I think it is both, the volume in the market is very low, the market is also ignoring Europe and Asia issues. I think we may have a correction then upward movement.
    15 Aug 2012, 05:27 PM Reply Like
  • Lionesse
    , contributor
    Comments (15) | Send Message
    Calm before the storm. Look at the seasonal trends, then the current macro environment. The FED can't keep the markets propped indefinitely.
    15 Aug 2012, 05:48 PM Reply Like
  • Crash999
    , contributor
    Comment (1) | Send Message
    Syria, Israel, Iran, Europe, The fiscal Cliff, US debt. China slowdown. Just wait things are bound to go wrong somewhere.
    15 Aug 2012, 10:03 PM Reply Like
  • barrry
    , contributor
    Comments (29) | Send Message
    Calm before the storm(s)!! October has been unkind to longs for many years. When volume returns next month, it will set up a 30% correction in October, with or without QE3,4,5,6 etc.!
    16 Aug 2012, 01:26 AM Reply Like
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