After establishing a well-formed falling channel and positioning for a bearish 10/20 cross, SPX soared last week on  – what else? – another collapse in VIX.

In the process, the 10/20 cross was (at least) delayed and the channel busted.  It’s normal activity for the lead up to a Fed meeting. Perhaps “price discovery” should be renamed “price setting.”

Perhaps we shouldn’t be surprised to see similar goings on in other “markets” such as silver.

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