…the VIX. With readings in the 60s, it would seem automatic that the market should be drawing a bottom. That's not necessarily the case, as actual volatility is also extremely high.

In essence, the VIX measures the market's perception of how volatile the market is going to be moving forward. Historical (or actual) volatility measures how volatile the market has been recently. In a best-case scenario, the VIX would spike higher while the broader market stayed relatively calm. This would indicate that investors had overdone it in terms of their "fears."

Incredibly, actual volatility is higher than the VIX. So there still may not be enough fear priced into the market to consider the recent selling "capitulation," which simply means that investors wave the white flag and sell at just about any price to get out of the market.

Technically, the market remains unable to latch on to any type of support. The most notable points that we watch are the century numbers (meaning increments of 100) on the S&P 500 Index (SPX). Recently, SPX 900 acted as support by luring some buyers into the mix.

The importance of these round levels has increased with so many technical support trend lines already in the market's rearview mirror.

So, what should investors do with this information?