Learn the trade here. Make it on tradeMONSTER

Options Trading News

March 14, 2013  Thu 1:45 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
The major equity indexes ended yesterday's session mixed, but the CBOE Volatility Index and its near-term futures were lower.

The S&P 500 Index was up 2.04 points to close at 1554.52. It opened the session by falling near 1548 but climbed above 1556 and settled into the close about a point off of Monday's five-year high. The SPX remains 10 points off its all-time closing high from 2007. Resistance remainst at 1565 and support at 1525.

The Nasdaq 100 was down 2.13 points to close at 2798.68. It followed a similar intraday pattern but finished right in the middle of the day's range. The NDX again proved unable to break out of the very tight range it has seen for the last two weeks. Resistance is still at 2846 and support at 2760.

The Russell 2000 climbed to yet another all-time high, gaining 3.64 points to 943.90. The small-cap index finished just off its afternoon high. It has support at 916.

The VIX gave up 0.33 points, or 3.6 percent, to close at 11.83. That was above Monday's close, which was the volatility index's lowest since February 2007 (partly because of a statistical quirk).

The March VIX futures, were down 0.30 points to close at 12.95, a tick below Monday's close. The April futures lost 0.15 points to finish at 14.65. This had the iPath S&P 500 VIX Short-Term Futures Note (VXX) VXX down 0.18 or 0.86 percent to 20.93, just above Monday's all time closing low.

More than 519,000 VIX options changed hands, with 396,000 calls outpacing puts by more than 3 to 1. The VVIX Index, which measures the implied volatility of those options, was up 5.5 percent to 84.36, suggesting that traders were mostly buying those VIX contracts. The SKEW Index is also showing that there is some concern showing through in the option data. 
Share this article with your friends


Related Stories

VIX

Videocast: Target 19 line in VIX

July 23, 2014

Group One's Jamie Tyrrell says traders are targeting the VIX 19 line today, selling calls in August and buying them in October.

VIX

VIX down as SPX posts new high

July 23, 2014

A broad market rally pushed the S&P 500 to a new all-time high while sending the CBOE Volatility Index lower by more than 4 percent.

VIX

Videocast: Betting on lower volatility

July 22, 2014

As the market rallies today, Group One's Mike Palmer says traders are betting that the recent pops in volatility will be short-lived.

VIX

Videocast: No panic in the VIX pits

July 21, 2014

Group One's Jamie Tyrrell says today's volatility is relatively muted even after the morning downturn, though traders are buying August and October call spreads.

VIX

VIX drops as equities bounce back

July 21, 2014

Equity indexes rebounded sharply at the end of last week, making up most of Thursday's steep losses and pushing the CBOE Volatility Index back down to the 12 level.

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Free Webinars

Education & Strategy

How to navigate earnings season

We are embarking on one of the most frustrating times for new option traders: earnings season.Many new traders buy options,...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER