Pity the poor guys working the VIX button this holiday season.  They’ve had no rest for the past few days, and are unlikely to have any until after the new year dawns.

Yesterday was a prime example.  ES made several attempts to break down before the open, only to be undone by a 5% decline in this “fear indicator,” most of which occurred in the first minute of trading.  There were other attempts by SPX during the session, each of which was quickly dispatched by VIX hitting new lows.

It wasn’t until CL finally got the message and started ramping higher that VIX finally took a break and popped up just high enough to suck in some bears before the close.  After the close, VIX plummeted again, ensuring another break out this morning.

continued for members...

SPX close just above the SMA5 200, triggering a buy signal for anyone brave enough to follow it.

CL and USDJPY fully support this move.  USDJPY has backtested the rising channel it broke out of after breaking “down” from the ridiculously steep rising purple channel.And, CL continues its wild gyrations that only an oil executive could love.

The big picture for SPX remains bullish through the end of the year and, likely, through Jan 5.  Our current forecast calls for 2295.51, which would mean a continued meltup while backtesting the broken white channel from last February.