VXX ends the day on a bearish note closing near the low of the day
iPath S&P 500 VIX Short-Term Futures ETN (VXX) Technical Analysis Report for May 17, 2018
Moving lower for the 2nd day in a row, VXX finished Thursday at 34.90 losing $0.91 (-2.54%). Trading $0.48 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing below Wednesday's low at 35.57, the ETF confirms its breakout through the prior session's low having traded $0.80 below it intraday. Ending with a weak close near the low of the day sets a bearish note for the next session.
Thursday's trading range was $1.36 (3.81%), that's slightly below last trading month's daily average range of $1.80. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly below average.
Prices are trading close to a key support level at 34.51.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Selling might speed up should prices move below the close-by swing low at 34.51 where further sell stops could get activated.
While classical technical analysis indicates a neutral sentiment for the next trading day, our quantitative statistics show a different picture being very bearish.