Hey Trader,

The SPX opened up about 15 points on Wednesday…and then dropped like a stone.

For those of us who have been around the block,  it was the classic bear market that opened up and then dropped…

But then at 2:15 ET the S&P rocketed higher.

The move was impressive…

Check that out.

At the end of the day yesterday, I honestly had to admit…and Voz agreed…I have NO IDEA what is going to happen tomorrow.

But here’s what I do know…and I have a trade idea for you…

On one hand, the S&P had a huge recovery…on the other…we closed below the highs by a nice mile…

We are at risk of truly falling apart…JPM has a fund you can join (I wouldn’t)  the fund is long the index and long a collar.

The current collar is long the 4210 puts…

That strike is going to be a magnet for the S&P 500 over the next few days…

As my friend and fellow trader said,  if the S&P 500 breaks 4210 things are going to get ugly…if not, we start to rally.

So what do you do as a trader?

It’s pretty simple actually…

I think the selling will fail to break the 4210 level…

And with the curve in the current shape:

I think you want to buy October VIX out of the money puts…they will pay.

Questions about that? Leave a comment below!