Michael Bento@MichaelPBento
Let's clear something up right now. Yesterday was NOT a panic, it was actually pretty orderly. If we zoom way out we can see the spikes on daily volume that coincide with capitulatory panic selling events, as you can see we aren't even close yet. That's not to say everything is all sunshine and rainbows, there is certainly a lot more downside to be had, pick your poison on trend support, the 2009 bottom support/resistance mean line or the 2020 bottom trend support line, either one has no less than 11% more room to the downside before we can entertain the possibility of capitulation.
Now we will absolutely see face ripping bear market rallies along the way, but I'd be willing to bet that before 2026 is over we will undercut the dashed 2009 line, by how much entirely depends on the kind of economy we are in once things really get moving to the downside.
To make a long story short, we've only just begun to see this market crack.