The VIX has not also confirmed a sell signal on the 130min chart, signaling that the upcoming decline in the S&P will be much larger than 20 points. Now I am expecting a 35-40 point minimum decline from where the top is registered. However, that is only a minimum decline level, it's just a starting point. It has only printed three waves in on this rally so a strong decline to confirm that it was only a three wave rally could be a sign that something much bigger is happening to the downside.
The Nasdaq 100 is starting to get in on the fun too as it has now confirmed a bearish signal. The S&P has yet to confirm a bearish signal on the index itself, however the VIX has confirmed bearish stock market moves on both the 30min and 130min charts. So a stock market decline is near.
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