UPDATE 12:35 PDT
The Gartley busted as the VIX took off for the moon. Busted Gartley’s often become butterflies, which is exactly what happened here. The .786/.786/1.272 pattern completed at 24.23. The .618 reversal target is around 19.12. Any extension, not uncommon in butterflies, could take VIX much lower.
The 1.272 extension, for instance, would take it down below 15 — extremely bullish for stocks. This is a large and well-formed pattern, dating back to Mar 18. So, I take it very seriously.
A bearish Gartley pattern just completed on the VIX since 3/21. Should take it back around 17, bullish for stocks.
Note: I revised the B point to 20.03 on May 23. Missed it in all the excitement this morning.