Long-term support (the light blue line) was broken decisively. The 100 day moving average waits.
Having made the bed with long delta in the second box range above, we must adjust accordingly. Every time this has happened during the past 2.5 years, the market has returned to its bullish trajectory. In the case of the small caps, trend line support is near.
Will this time be different? At 1763 in SPX, we’ll know a little more. Of course, the story never ends. Procedure remains crucial.