Matt and Alex discuss the continued buildup of commercial longs in VIX volatility futures and the likely implications for the stock market. Matt and Alex then discuss currency markets.

At 5:30, Matt indicates that commercial banks are now net long 67K VIX futures – which continues to foreshadow a near-term (4-6 week) rise in volatility, and thus a drop in the stock market.

At 10:50, Matt states that he believes the Euro and British Pound either touched a major bottom or came very close. In addition, Matt states the US Dollar Index may have already topped.

At 16:00, Matt states that after re-examining his charts, he believes oil may still be holding above support, however he suggest a new low would convincingly break support and would likely lead to prices in the low $30s.