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$EWZ: Volatility flattening after the recent pump
Watching $EWZ carefully here around 36.05; the implied volatility seems to be flattening out after that quick pop, which often precedes a consolidation phase or even a slight retrace before the next leg up or down. If we break below 35.80, I'd consider that a clear sign the upward momentum is truly stalling, and options premiums could soften across the board for a bit.
2 comments · 1 points
Interesting take on the volatility. Are you factoring in any broader market trends for emerging markets, or is this primarily a technical read on EWZ's chart action?