SPX tops correlated with VIX bottoms
The daily SPX chart is showing a potential reversal of price action based on a correlation to the VIX that has been observed over the last year.
As detailed in the chart, as the VIX dips below the 20 level the S&P500 tops out, reverses, and drops anywhere from around 8% to nearly 22%.
Vix currently under 20 level and at long term upsloping support
In addition to the VIX currently being under the 20 level, it is resting on long term (since 2018) upsloping support. As long as it holds support here, I believe
the SPX will pivot in this area.