Market Overview Jan 28

Down she goes VIX, as suggest in yesterday post. And so is the market bounce time just like the short term indicator suggested (Bullish). Set your stop, get ready for the ride for abit. Do not get too comfortable with the long side, as there was a lot of technical broken the last couple of days. One level at a time. This may just be a dead cat bounce before going lower in the longer term. Time will tell us that.

Chart attack:

See VIX chart, down she goes, came back under the upper BB, this is not helping the bear case in the short term with the index. MACD is curving down, normally go lower base on past evidence. 

See SPY chart, we may have made a temp bottom, give it some time. Base on RSI curved back up. Still trying to get back above the lower BB but lower volume here and MACD could still be negative, wait till tomorrow. 

Short term: Bullish (with yesterday low as a stop)