OptionsHouse

Options Trading News

March 21, 2013  Thu 1:47 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
Equity indexes pushed higher yesterday, driving the CBOE Volatility Index and its futures lower.

The S&P 500 gained 10.37 points, or 0.67 percent, to finish at 1558.71. It was above 1561 at the day's high minutes before the closing bell. The SPX did not regain last week's highs but is just about 8 points off its all-time closing high. Resistance is at 1565 and support at 1525.

The Nasdaq 100 rose 18.64 points, also 0.67 percent, to 2805.91. It was above 2810 heading toward the bell, a resistance level that has held all month despite being tested several times. Above that there is resistance at 2846, while support is at 2760.

The Russell 2000 was up just shy of 1 percent, adding 9.10 points to end the session at 951.95. It closed at the high of the day and is about 1 point away from last week's all-time closing high. Support is at 930.

The VIX tumbled 1.72 points, or 11.95 percent, to 12.67. It was at the day's low of 12.30 just before the close.

The March VIX futures settled this morning at 12.46. The April futures fell 0.85 points to 14.55, while the May contracts slipped 0.35 points to 15.90. This pushed the iPath S&P 500 VIX Short-Term Futures Note (VXX) down 5.27 percent to 20.44, a new all-time closing low.
 
More than 1.34 million VIX options changed hands, falling short of Tuesday's record day. But more than 1 million calls changed hands, which I believe is a new record. The action must have included quite a bit of selling, as the VVIX Index--which measures the implied volatility of those VIX options--was down more than 5 percent to 89.45.
Share this article with your friends


Related Stories

VIX

Videocast: VIX 'cash spread' hedge

February 27, 2015

Group One's Mike Palmer explains the strategy behind a VIX "cash spread" as traders cover positions going into the weekend.

VIX

Videocast: Futures see higher VIX

February 26, 2015

Although the spot volatility index remains below 14, Group One's Dominic Savino says the March VIX futures are targeting the 16 level.

VIX

Videocast: Low short-term volatility

February 25, 2015

Although a big player is buying VIX March 23 calls, Group One's Mike Palmer says the iPath S&P 500 VIX Short-Term Futures Note (VXX) settled today near 11.

VIX

Videocast: VIX falls as Yellen talks

February 24, 2015

Group One's Mike Palmer says traders are betting on lower volatility amid speculation that the Federal Reserve will not hike interest rates before the end of the year.

VIX

Videocast: The VIX ahead of Yellen

February 23, 2015

Volatility has calmed down after a rocky open today, but Group One's Mike Palmer says the VIX could move early tomorrow with Senate testimony by Fed Chair Janet Yellen.

OptionsHouse

Premium Services

Webinar Recording

Turbo Charge Your Trading Profits

Education & Strategy

The Strike-Based Greeks

The other Greeks (Gamma, Vega, and Theta) are calculated by using month and strike data, and not by individual option. These are called strike-based Greeks. Gamma, Theta, and Vega are all strike-based Greeks

View more education articles »