Study: what happens next to stocks when VIX falls below 14

This is the first time VIX has fallen below 14 in more than 3 months.

Historically, this means that:

1. There's a 50-50 chance the stock market will face some downside in the short term. This downside risk is limited.
2. The stock market always rallies in the next 6-12 months

https://bullmarkets.co/study-what-happens-to-the-stock-market-when-vix-closes-below-14/

Submitted May 10, 2018 at 07:51AM by markethistory https://ift.tt/2Kb00si