Yesterdays drop was huge and the put to call ratio hit a new high again. It's starting to look and feel like capitulation here, and that means a bottom is near. Probably not today with this strong rally back up as trapped bulls will sell into it, but the next trip back down should be the last one before a very strong rally back up starts. My guess is we'll that last drop on Monday.
Whether it's a higher low or lower low I'm not sure, but this move up acts like a wave 4 bounce inside a C wave down, so a wave 5 down to end the C wave and the larger degree A wave from the current all time high, could be next. Give me that last drop on Monday and then I'll be a bull. For today the 263-265 area on the SPY is resistance. Buckle up for next week as should be just as wild as the ride down as the bulls try to take it back up. So if you missed this big drop (I know I did) you'll get another shot to catch the move back up. Have a great weekend and God bless.