The $VIX shows that we are in 'fearful' mode

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In the last 5 years before March 2020, VIX has stayed mostly below 20, and it was a great period for the stock market. Now that the COVID crash is already over, we are still hovering above the 20 VIX level. This indicates that we are still in fearful and defensive mode. According to reversion to the mean, VIX will likely step below the 20 level and we will again see a very good run for the stock market.

TLDR: buy every single dip!

Penafian

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