Look for 
SPY to unravel over the next few weeks with a 
VIX spike that sends it down to $291. My analysis is that ~290 is the completion of this bearish cycle. It also lines up with support established in 2018 and 2019. Down there is a long term buy, but it really could go as low as 155 in an extreme bear case (would need further exogenous shocks in the macroeconomy).
All time high = $480
February Low = $410
(A) WAVE: 480/410 = 17% drop
March high = $462
June low = $362
(B) WAVE: 462/362= 28% drop
28 / 17 = 1.65
28 (1.65) = (C) WAVE: ~45% estimated 3rd wave down from August highs ($432), which sends SPY to the 290s
SPY to unravel over the next few weeks with a VIX spike that sends it down to $291. My analysis is that ~290 is the completion of this bearish cycle. It also lines up with support established in 2018 and 2019. Down there is a long term buy, but it really could go as low as 155 in an extreme bear case (would need further exogenous shocks in the macroeconomy).All time high = $480
February Low = $410
(A) WAVE: 480/410 = 17% drop
March high = $462
June low = $362
(B) WAVE: 462/362= 28% drop
28 / 17 = 1.65
28 (1.65) = (C) WAVE: ~45% estimated 3rd wave down from August highs ($432), which sends SPY to the 290s
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.