Thank you Randy

Thinking somewhere along these lines with /NQ at the first target now (which is the same as that support zone I posted or covered in a video on the 15m chart yesterday). We’re there right now in pre-market but I don’t care to try and game a bounce here as there was a ton of hot air in the NDX yesterday & we could just slice right thru this minor support & continue down to the uptrend line.

No but it did rally & close green within the wedge & above the uptrend line yesterday so if the markets dump hard today or next week, the $VIX will most likely break out above the falling wedge pattern.

This is partially true. The curve uninverts after the “official” recession already started, which is usually declared in hindsight. Sometimes euqities drop during the inversion leading up to the recession. Sometimes stocks equities hang in there beforehand.

The markets already dropped the 20-30% last year while the curve was inverted. So at this point, it’s a waiting game for when they begin to uninvert. The bottom in equities has been anywhere from 3 weeks thereafter up to several months.

Even though this has historically been a solid indicator, we have to realize this is a unique situation at the moment. The Fed typically isn’t hiking rates into a recession and right now, the Fed is actually TRYING to cause slowing growth / a recession.

Because of that, longer duration rates will stay lower than short term rates for longer than we typically would see. Something to keep in mind.