Cast your eyes upon these charts showing triple EMA crossovers (5, 10, and 20) of the VIX when below 18 and try not to get joyfully misty-eyed. Looking back to 2003, it has been fairly consistent, but should be confirmed by a support break on the index.
5% down is 1349
10% down is 1278
Interestingly enough, a few places in that range show a good possibility of putting in a floor. Looking back, I see a lot of corrections cap out around 7-8%. I think we've got very decent chances of seeing 1340 SPX. If that fails, then 1300.
IF we can break 1370, that is…
Should be some very nice bullish setups in a few weeks if the VIX follows through.
