We broke below 1258 today. That signals that the bears are definitely in control of this market. With the market extremely oversold, I would still expect some sort of rally within the next few days. The break of the 1258 support means that this sell off could get ugly. There is still some support at 1250...but if it breaks through that, we are looking at a possible "double dip". If you traded calls on the SPY and puts on the VIX, your goal now would be to try to get out at breakeven...or at a small loss. A rally in the market would likely be a retracement that leads to another move down. I don't recommend any new trades here. The safest place is in cash right now. Once I see a clearer signal or a good pattern, I'll let you know.
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