Learn the trade here. Make it on tradeMONSTER

Options Trading News

April 9, 2013  Tue 1:16 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
Major equity indexes bounced yesterday, driving the CBOE Volatility Index and its futures lower.

The S&P 500 finished the day down almost 10 points, closing at 1563.07. That brings it back to its range from last Wednesday. The SPX slipped below 1549 in the first hour and then climbed from there, ending at the high of the day. Resistance is at 1573 and support at 1539.

The Nasdaq 100 gained 14 points to close at 2786. The NDX was below 2745 right at the open, and it too finished at the high of the day. Resistance is at 2828 and support at 2745.

The Russell 2000 had the best percentage gain, picking up 8.21 points, or 0.89 percent, to finish at 931.49. The small-cap index dipped below 910 at the open, and that will be support going forward. Resistance remains at 954.

The action drove the VIX down 0.73 points, or 5.24 percent, to 13.19. It had climbed to 14.50 in the first hour of the session and finished at its low of the day.

The April VIX futures were down 0.75 points to 13.60, while the May futures lost 0.45 points to close at 15.05. This left the iPath S&P 500 VIX Short-Term Futures Note (VXX) down 2.8 percent to 19.55, yet another new all-time low.

The VIX options traded 369,000 contracts, making it second on the overall volume list. Calls outpaced puts by 2 to 1.

The VVIX, which measures the implied volatility of the VIX options, was down 2.8 percent to 82.12. The VXX, meanwhile, saw 302,000 options change hands, with 165,000 puts. 
Share this article with your friends


Related Stories

VIX

What's next, the 'Cortisol Index'?

April 18, 2014

Most traders believe themselves rational and logical But all of the work done in behavioral economics has exposed our various psychological biases, which tend to hurt us in our investing.

VIX

Why you need to understand volatility

April 18, 2014

Volatility trading may sound like a complex and obscure strategy, but it is important because every option trade is also a volatility trade, whether intentional or not.

VIX

Videocast: Huge straddle in VIX

April 17, 2014

Group One's Jamie Tyrrell says one major player is opening the equivalent of a giant straddle in the May VIX contracts.

VIX

Equities extend streak; VIX near 14

April 17, 2014

The major equity indexes extended their winning streak to a third consecutive session yesterday, driving the CBOE Volatility Index back near 14.

VIX

Videocast: VIX pits focus on May

April 16, 2014

Now that the April contracts have settled, Group One's Jamie Tyrrell says traders are focusing on May options at the 16 level.

Premium Services

Education & Strategy

When cash is king (of hedging)

Whether your trades are winning or losing, it can be tempting to add to your positions. But in either case,...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER