All does not look well for equity markets today. With the Dow Jones Industrial now down over 120 points, a breakout in the volatility term structure is displaying a real worry in financial markets at the moment. The volatility term structure is simply two different expiration periods of CBOE Volatility Index Futures. You can see this spread has been trading in a tight congestion trending slowly downwards. Several times the spread has moved out of this congestion pattern only to fall back within. Will this breakout be the real one?