XIV Breakout...4.15.14

The VIX plunged and XIV soared....a breakout day for bullish indicators and a possible sign of things to come.  The lateral consolidation pattern still prevails in many sectors although energy (XLE) is hitting new highs each day and prices at the gas pumps reflect it.  Although crude inventories are up the sudden shutdown of 2 major California refineries has been blamed for the bump at the pumps although the timing of the shutdowns has been questioned by a number of market analysts who have stated that more likely than not its just the usual gouging by the oil majors...all without recourse.
Tomorrow may prove to be the acid test for this rally's validity ....with a 3 day weekend ahead the risk adverse will be selling into improved prices so the close should be watched closely.