VIX declines as stock indexes rebound
Chris McKhann | email@example.com
Major equity indexes yesterday regained a bit of ground lost earlier this week, driving the CBOE Volatility Index lower.
The S&P 500 rose 6.57 points to 1697.48, just above Tuesday's close. The SPX also finished just above its 10-day moving average. Resistance is at Friday's high of 1709, while support is at 1670.
The Nasdaq 100 gained 11.43 points to 3130.12, its third-highest close, behind those of Friday and Monday. The NDX bounced squarely off its 10-day moving average during the session. It has some resistance at 3145 and support at 3030.
The Russell 2000 was up 5.14 points to 1049.47, below Tuesday's close. It has resistance at 1063 and support at 1020.
The VIX was down 0.25 points, or 1.93 percent, to 12.73. That was well off session lows of the volatility index, which bounced in midday trading.
The VIX futures were lower as well. The August contracts were down 0.30 points to 13.25, while the September futures lost 0.20 points to close at 14.85. That left the iPath S&P 500 VIX Short-Term Futures Note (VXX), which comprises the two nearest-month VIX futures, down 1.56 percent to $14.41.
Video: VIX October 22 calls bought
October 8, 2015
The VIX Weeklies began trading today, but Group One's Jamie Tyrrell says the big trade is in standard options with a purchase of 45,000 VIX October 22 calls.
Videocast: VIX call buyers return
October 7, 2015
Group One's Jamie Tyrrell says traders were selling VIX calls early in the day but reversed course as the market rally fizzled.
Videocast: Volatility levels decline
October 6, 2015
Group One's Jamie Tyrrell says volatility trading today is implying that the type of VIX action from August and early September will not repeat itself.
Video: Traders see elevated VIX
October 5, 2015
Even with the volatility index falling below 20 today, Group One's Jamie Tyrrell says traders are buying calls and selling puts in the VIX.
Videocast: Target 35 level in VIX
October 2, 2015
Group One's Jamie Tyrrell says traders are targeting the 35 level for the volatility index in October, November, and December contracts.