Today’s drop was not without high volume and fear. The VIX was over 30 today. It should spike higher in the morning unless some news removes the fear. The put/call was very high. The equity put/call was even higher. The new lows today were less on a new price low than previous price lows.
A bullish divergence would be for a low on the index with the number of stocks making new lows declining as price goes down.
Charts courtesy of Stockcharts.com
I expect “the” low to occur between now an October 10th. The March low hit exactly on the cycle. The July low was near a cycle - but not as strong of a cycle. The October 10th cycle should be as strong as the March cycle.
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