We are getting a reflexive bounce back up to the VWAP after tagging the 200-sma/ema and recording an ‘official’ 10% correction off the SPY’s April highs. We’ll see how we do at the VWAP here — on the bull ledger, the VIX is peeling back from its near 40 tick. Metals are certainly getting hammered. Should we reverse and close under the 200, however, I would be very pessimistic and extreme caution is warranted here. Next SPY support at high $108 level, then we are looking at $105….
