ajtj99's Market Pulse

[ajtj99]

Speaking of the VIX, it has a scary bullish pennant formation that targets levels higher than in 2000-2002.

I can't even begin to think what that would bring the markets to. However, you may notice the RUT has already given back about 22% off the 2007 highs. It seems extremely unlikely it will hold the .618 re-trace off the 2002-2007 move based upon this situation.

I'm trying to keep from getting too bearish here, but there are things like the VIX that are downright frightening here. I thought we'd get a low somewhere from 1250-1270 SPX, but the VIX is the one thing that keeps me from being real confident in any low right now.