VIX near 1 year Lows - Warning of a pending trend reversals

Market extremes would favor taking the other side: Mainly going long Volatility and shorting the SPX. CBOE Put/Call Ratio is down however not at an extreme level so it might be giving a warning signal that the price moves hasn't run their courses just yet but it is time to stay alert of a trend reversal.

Volatility is making new lows but Bond Yields are turning

10-Year Note is making Bullish Engulfing pattern with low at the 50-DMA Support.

So we look for confirmation on the upside.

10-Year Yield made a Bearish Engulfment right at the 50-DMA Resistance.

ROC is in overbought territory but RSI is just signalling a bullish trend so a confirmation on the downside is needed as we saw the same situation above in the underlying bond price.

Volatility broke to a new Low as complacency seems to win over fear and markets are managing to run higher. My guess is we break out of this state of mind very abruptly but in timing we must be canny so I'd watch for a close above the Horizontal line.

Volatility is reaching support - Expect a RISE in Fear

Short term Volatility fund VXX is reaching a Support trendline. I expect Volatility to rise and this should mean fear will spread again.