It went from bad to ugly today with no reprieve from the selling....there just weren't any buyers. The NYAD range was .11 to .33 and volume really kicked in the last hour to somewhat stabilize prices. The DJ finished down 312 points and the August lows are a foregone conclusion at this point. The good news? Spy only crumbled to S3. It may be hard to swallow but things could have easily gotten really ugly in that last hour with a drop to S5. The possibility of a Trap Door setup now loom.
The HFTs were hard at work today per the Ergodics/ADX divergence but the skew was clearly biased to the downside. And the VIX was up 17% to boot. Given the current dangerous trading environment we're favoring cash or some version of the SS delta neutral model which worked out just fine today.
