S&P 500, Russell 2000 at new highs
Chris McKhann | firstname.lastname@example.org
Equity indexes gained on the day, with two of the three pushing to new record highs while the CBOE Volatility Index declined.
The S&P 500 as up 3.44 points to 1695.53, another record-high close. The SPX broke above 1697 in the morning but then went sideways. It has support at 1652.
The Nasdaq 100 was up 10.30 points to 3055.23, trying to make up some of Friday's losses. It has resistance at 3091 and support at 3000.
The Russell 2000 picked up 2.93 points to close at 1053.41. That wasn't far off the intraday high and is a new closing high. It has support at 1000.
(When equity indexes are at highs, further resistance levels are obviously projections not based on previous trading patterns, so I will refrain from listing them.)
The VIX was down 0.25 points, or 1.99 percent, to 12.29--the very low of the day. It remains higher than actual volatility, with the 20-day historical rate of the SPX at 9.3 percent and the 10-day reading at 7.3 percent.
The August VIX futures lost 0.20 points to close at 14.70, and the September futures slipped 0.30 points to 16.20. This had the the iPath S&P 500 VIX Short-Term Futures Note (VXX) down 2.1 percent to $15.83.
Video: VIX drop lures call buyers
July 31, 2015
With the spot volatility index slipping below 12 today, Group One's Jamie Tyrrell says traders are buying the VIX August 12 calls while premiums are relatively low.
Videocast: VIX put selling pays off
July 30, 2015
The VIX is little-changed today, and Group One's Jamie Tyrrell explains how recent put selling has paid off for volatilty traders.
Video: Case study in VIX pullback
July 29, 2015
Group One's Jamie Tyrrell says the volatility index's move down in the last week illustrates just how quicly the VIX can fall as well as rise.
Video: Traders unload puts in VIX
July 28, 2015
As the market rallies today, Group One's Jamie Tyrrell says traders are selling August 14 and 14.50 VIX puts in the belief that downside will be limited.
Video: Call buyers ride pop in VIX
July 27, 2015
With the spot volatility index jumping well above 15 today, Group One's Jamie Tyrrell says VIX call buyers are targeting the 20 strike in August and September.