VIX Chart Suggests Stock Sell-Off: Citi Analyst
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VIX trend lines suggest that a stock sell-off lies ahead, a Citigroup technical analyst said Friday on CNBC.
On “Fast Money,” Citi FX Technicals Chief Technicial Tom Fitzpatrick pointed to a pattern going back three decades.
“So far, it’s five for five. When the VIX trades back to this trend line and bounce, which is what it did this month, you’ve seen a multi-month down move in the S&P and the months following,” he said.
On the 10-year Treasury yield, there was historical downward pressure.
“Our bias is very firmly: We haven’t hit the lows there yet,” he said. “We think we’re going to go down somewhat between 1 and 1.2 percent.”
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