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I will make this entry quickly simply to send a signal. More detailed commentary to come later.

Over the last few months I have decided to track $VIX movement very much like I do securities movement with a proprietary momentum model designed by Andrew Cardwell (but for which I use it in an almost completely different fashion). Here is a look at it from a weekly chart basis over the last four years.

When this indicator (which is derived from an extremely short-term period Welles Wilder RSI calculation) reverses in either direction around zero or below and around 100 or above, it can give you some pretty interesting reversals near Fibonacci levels in price. Though my testing is not yet finished, it also appears to have the same kind of predictive qualities with $VIX.

What we are seeing on a weekly chart basis is an increase in $VIX momentum, which could mean further selling in the equity markets. As you can see from this chart, assuming it possesses the same kind of support and resistance (and Fibonacci properties) as price, resistance first occurs around 50, but the first target of this "$VIX expansion" is around 65.

Let's keep a watch on this model. It is my goal this year to learn how to trade $VIX from an options basis, as I am adding to my toolbox and equity markets become difficult to traverse going forward. This could also be subjected to neural net analysis as there seems to be just enough data to run tests.

More discussion on this at a later time. I at least delivered on the first promise, a quick analysis of $VIX.

Basically, we should be looking for more WEAKNESS in the equity markets if this forecast is true. Only time will tell.