Yesterday's decline flipped out some people -- I haven't seen a TICK reading blow out in a while (-1233 per Tradestation data).
I had mentioned some Fib targets -- 1451.91 being the lowest -- and the market closed at 1451.56.
Today will be tricky. The market could reverse right here, or head a bit lower, or head considerably lower. I bought some SPY 145 calls in case of the former. I'll be a buyer lower too, specifically between 1433.56-1436.56, a high-volume zone and an area of some odd agreement between open & close prices.
I merely see the potential for a retest of 1474 based on the pattern thus far. Unless it changes drastically (and it can), I will continue to pursue this risk/reward trade. Yesterday let me out of the SPY puts that I bought 9/13. They were getting stale so I dumped them.
If the S&P gets under 1439.15 it will be an early warning to me that a larger corrective pattern is in play. Getting under 1422.38, the April highs, will likely cause Bennie and the Bunker Boys to do some flipping out of their own.
Elsewhere, I was pleased to see comments this morning concerning Germany and the Euro Zone. Exit is indeed an option the article stated. Sanity returns.