Direxion Daily Emrg Mrkts Bear 3X Shares (EDZ) (EDZ)

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Correction Protection

Traders have been debating for weeks now where the bottom will be in the current stock sell off. Deming, who trades the VIX, the CBOE's volatility index, said if the VIX cracks its 200-day moving average of 25.30 in the next week, it could spike to 30. "At that point I think we'd see the S and P test 1035, if not 1020," he said.

"It's (S and P) searching for a bottom here, but it just doesn't feel like it found it. It's trying to hold these levels...If we can somehow break 1080, I still think the high side over the short period is 1100," he said.

Brown Brothers Harriman investment strategist Andrew Burkly said he believes the market will continue to correct for awhile.

"We think we're in a 10 to 15 percent correction that will last three to four months. It will generally be backing and filling. There will be a little bounce back and forth but the trend is still lower," he said.

"We think this is going to last through most of the first half of the year...We have a 1200 target on the S&P, but we think in the near term dip, we make it down to 1000 or slightly below," said Burkly.

http://m.cnbc.com/us_news/35374249?refresh=true