Is Volatility About to Spike?

Members that track the VIX, VXX or VXD will have noticed the descending wedge formation. You will also have noticed the star cluster that is forming on the daily charts. This should be interpreted as a cautious signal. On the plus side LQD is very strong and various dollar signals don't tell of a reversal at this time. Until there's a change with UUP and LQD any volatility spike should be muted.