Quote Originally Posted by pete View Post
Billy,

looking around a little regarding volatility behaviour:

On a shortterm view i found larry connors vix 5% rule compared to the 10d SMA of VIX in his 2009 book.
If below 5% of the SMA, sell the S&P, good for 5 days and vice versa.

What i found pretty interesting was the behaviour in the period August-September 2011 in the Gold volatility GVZ, similar calculated to the VIX:
http://stockcharts.com/h-sc/ui?s=GLD...d=p32628808138

just a little food for thought
Pete,
Very interesting indeed. Your GVZ link seems to illustrate one of these cases of a “capitulation”” volatility spike at a top instead of at a bottom.
Billy