We know the vix moveing is opposite of our Stocks. So when the vix falls our stocks rise and when the vix rises our stocks fall.
Using RSI, when it cross above the 70 is telling us overbought and when it crosses below the 30 it is signaling oversold. These are reliable indicators when it is safe to buy or sell. Bouncing off those levels also happens if not crossing them. I circled the tops and bottoms of the vix and circled the points on the RSI when it was telling us these tops and bottoms were forming. Right now we have formed a bottom signaling an overbought market. As the trend continue we should see the vix rise close to or up past the 70 on the rsi telling us we are oversold and when it will be a safe time to buy.
Using RSI, when it cross above the 70 is telling us overbought and when it crosses below the 30 it is signaling oversold. These are reliable indicators when it is safe to buy or sell. Bouncing off those levels also happens if not crossing them. I circled the tops and bottoms of the vix and circled the points on the RSI when it was telling us these tops and bottoms were forming. Right now we have formed a bottom signaling an overbought market. As the trend continue we should see the vix rise close to or up past the 70 on the rsi telling us we are oversold and when it will be a safe time to buy.