Is a key broad market index about to breakout? YES!
With the trend being up for the NYSE index, a key breakout test is in play in the top half of the chart above.
At the same time, the fear index (VIX) is testing a support & resistance line, that has been in play for the past 18-months.
Bulls around the world would receive a positive message if the NYSE breaks out and the VIX breaks down.
Bulls would receive a caution message if the NYSE started experiencing selling pressure at the old highs and the VIX finds support at current levels.
In my humble opinion, what the NYSE and the VIX index does over the next month, will send a key message about the broad markets next intermediate move.
