RC, I hope that your question is genuine considering our past differences. I would truly like to forget those times and start fresh with you. Believe me when I say that I care about this forum and will do what I can to maintain harmony; even if that means that I must do some changing.

Anyway back to your question. On the other forum there is currently a huge discussion over this very subject and how some interpret the volatility indexes. If they do muster a bounce then to me that will mean that a direction has been settled on (Up or down) you see I do share in the opinion that these indexes can determine market direction they merely determine volatility. Indirectly I guess when you consider the current market direction then one could assemble a conclusion on a Bullish vs Bearish movement. Right now the markets have settled into a triangle pattern that has reach its zenith. All the moving averages have converged and we are at a decision point. 

It is my opinion that we will break to the upside for some Bullish action and yes we will get a bounce in the volatility indexes. I then think that after a short rally the markets will resume their downward trek and the VIX, VXO and VXN will continue a northerly direction. I do not think that we will see new highs in the volatility indexes however because the action from October to November was pretty intense; in my opinion I do not expect that type of action again. Things will move more subtly going forward I think.

Let me know if I have not answered your guestion.

Apsll.