The VIX is meant to measure fear in the market. When the VIX reaches extreme levels the bears are in control, when it drops to lower levels it measures complacency which generally is a bullish market. Looking at a weekly chart of the VIX gives me many answers. First of all, the bulls are not yet in control of this rally. This leads me to believe that A. There is MUCH more upside yet to come, or B. this is a bear market rally with lower lows yet to come.
My analysis on other aspects has told me the 2009 lows are in place, therefore I have to resort to option A. The following chart has it's own annotations, so I fail to see the need to repeat them here. I expect the VIX to make a new "Green Zone".