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Below are three major cash indexes that have sealed, or are very close to sealed, major price gaps. In addition to this, they are very close to major Fibonacci Retracement Levels. All of which is to say, if there is a merciful God above, this ridiculous counter-trend rally should be at an end.

I would add that volatility, which used to peak in the lower 20s, now seems to have found a happy base there. We are in a new era. You aren’t going to see a sub-teen VIX anymore. Instead of a range of 12 to 21, you might expect something closer to 21 to 50.

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