Bull / Bear Market Regime

2023년 7월 14일

Bull / Bear Market Regime

Instructions:

- A simple risk on or risk off indicator based on CBOE's Implied Correlation and VIX to highlight and indicate Bull / Bear Markets. To be used with the S&P500 index as that's the source from where the CBOE calculates and measures implied volatility & implied correlation. Can also be used with the other indices such as: Dow Jones, S&P 500, Nasdaq, & Nasdaq100, & Index ETF's such as DIA, SPY, QQQ, etc.

- Know the active regime, see the larger picture using the Daily or Weekly view, and visualize the current "Risk On (Bull) or Risk Off (Bear)" environment.


Description:

- Risk On and Risk Off simplified & visualized. Know if we are in a RISK ON or RISK OFF environment (Bull or Bear Market). (Absolute bottoms and tops will occur BEFORE a Risk On (Bull Market) or Risk Off (Bear Market) environment is confirmed!) This indicator is not meant to bottom tick or uptick market price action, but to show the active regime.
- Green: Bull Market, Risk On, low volatility, and low risk.
- Red: Bear Market, Risk Off, high volatility, and higher risk.


Buy & Sell Indicators (DAILY time frame)

- Nothing is 100% guaranteed! Can be used for short to medium term trades at the users discretion in BEAR MARKETS!!

- These signals are meant to be used during a RISK OFF / BEAR MARKET environment that tends to be accompanied with high volatility. A Risk on / Bull Market environment tends to have low volatility and endless rallies, so the signals will differ and in most instances not apply for Bull market / Risk on regime.

- The SELL signal will more often than not signal that a pullback is near in a BULL market and that a BMR-Bear Market Rally is almost over in a BEAR market.

- The BUY signal will have far more accuracy in a BEAR market-high volatility environment and can Identify short-term and major bottoms.

Always use proper sizing and risk management!