Morning Corner 7.6.11

VIX (weekly info)
-no change (below mid)
trend=up
high= 21.85
rev= 15.32; mid= 18.59


This is a hard one to figure out. It has not been representing risk the way it used to. A good way (for me) to use VIX is to take the six month high and low range using the top 10% and lower 10% as reversal areas. So that would mean above 29.58 is risk on & below 15.97 is risk off (IMHO). Its below its SMA(21) and forming a bullish harami on the weekly chart so it may be getting ready to bounce.



SILVER (weekly info)
new low 33.70
trend=down
low= 33.70
rev= 35.30; mid= 34.50


Silver and oil are joined at the hip it seems. As oil is heading higher this week, silver is along for the ride. It's held its 38.2% retrace#2 (34.46) for nine out of the last ten weeks. It's below the SMA(21) which has turned down but the other SMA's are still sloping upwards. It's also back above its weekly 3LB reversal price.