- This has been the worst start of a calendar year for the NASDAQ since the 1970s. The S&P 500 is off to its worst start of the year since 1939.
- An average drawdown in an average year is 13%. The S&P 500 now sits down 14% from its high. So far, it has been an average drawdown. An average bear market sees a move lower of 34%, so we are one-third of the way to a typical bear market.
- We are all volatility traders now. If we see the volatility measure - the VIX - trade two standard deviations above its average, we will look to be buyers of stocks.
For further details see:
Bust