Learn the trade here. Make it on tradeMONSTER

Options Trading News

December 24, 2012  Mon 12:45 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
The major equity indexes closed Friday in the red but were well above their session lows.

The S&P 500 finished the day down 13.54 points to 1430.15. The SPX gave up 0.94 percent but only after cutting losses that had brought the index below 1423, and it was still up on the week. The SPX closed right at its 10-day moving average and still has support at 1414, with resistance now at 1448.

The Nasdaq 100 gave up 1.07 percent to close at 2664.67 after hitting a low of 2640 right after the open. It opened below but closed right around the 10- and 20-day moving averages. Resistance remains at 2700 and support at 2620.

The Russell 2000 was down just 0.54 percent to end the week at 847.92, still well above its 10- and 20-day moving averages. The small-cap index has support and resistance at 820 and 860 respectively.

The CBOE Volatility Index hit a high of 19.93 right after the opening bell but slid from there and finished at 17.84, up 0.96 percent. Much of the dampening comes from the fact that the VIX shows relative weakness ahead of weekends and holidays because of the time decay priced into the SPX options.

The VIX futures were stronger then the spot volatility index, with January contracts up 0.70 points, or 4 percent, to 18.20. The February futures were up 0.40 points to 18.55.

The VIX spent most of the morning above both of those futures and will likely be back there next week.
Share this article with your friends


Related Stories

VIX

Videocast: Heavy VIX call buying

October 24, 2014

Group One's Jamie Tyrrell says traders are buying November calls and futures in large size, quickly driving premiums higher.

VIX

VIX slips as big rally erases losses

October 24, 2014

Equity indexes rallied sharply yesterday, erasing the losses of the previous session and sending the CBOE Volatility Index lower.

VIX

Videocast: Protection gets cheaper

October 23, 2014

Although the volatility index is dropping with today's rally, Group One's Jamie Tyrrell says traders are buying VIX protection at lower premiums.

VIX

Volatility rises as equities pull back

October 23, 2014

The major equity indexes gave up ground yesterday, and the key volatility measures reacted by moving sharply higher.

VIX

Videocast: Quiet returning to VIX?

October 22, 2014

Group One's Jamie Tyrrell says the VIX fell 10 percent a day for three straight sessions, the first time that has ever occurred.

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Free Webinars

Make Money in a Volatile Market

Education & Strategy

Vexed by the VIX

Many people probably don't know that the calculation changed for the CBOE Volatility Index this week, but it's worth discussing...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER