…and of course, these are additional chinks in the armor for this over-extended rally. again, these are most likely widely followed patterns and it would almost be “too easy” a sell signal so best to wait for all the indexes to break the 60 min patterns, at the least, before aggressively shorting. nothing wrong with being partially short or scaling in here either. i could easily imagine one last trust up to roast the impatient shorts and suck in some more longs, causing the VIX and VXN to re-test and/or make one last move down to those key horizontal supports that they stopped just shy of so far. however, as i said earlier, maybe the fact most eyes were watching for a tag of those levels will make these breakouts above them all the more effective in catching the majority off guard (which is the nature of the market).
