Learn the trade here. Make it on tradeMONSTER

Options Trading News

February 5, 2013  Tue 12:14 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
The major equity indexes all gave up more than 1 percent yesterday to close at or near their session lows, sending the CBOE Volatility Index sharply higher.

The S&P 500 dropped back below 1500, giving up 17.46 points, or 1.15 percent. The SPX ended just above its intraday low at 1495.71, the index's first close below its 10-day moving average since the last day of 2012. Resistance is now 1514 and support at 1472.

The Nasdaq 100 finished at 2715.68, losing 48.28 points, or 1.75 percent. That was barely above its low of the day and was its lowest close of 2013. The NDX has resistance at 2770 and support at 2660.

The Russell 2000 fell 11.92 points, or 1.31 percent, to 899.28. It remains the strongest of the indexes and remains above its close from last Wednesday. Friday's all-time high just shy of 913 should be resistance for the time being, while support is around 880.

The VIX jumped 1.77 points, or 13.72 percent, to 14.67. That was just 0.01 points off its highest close from 2013, which came on the first trading day of the year.

The VIX February futures gained 0.95 points to close at 15.25, while the March contracts were up 0.50 points to 15.90. This pushed the iPath S&P 500 VIX Short-Term Futures Note (VXX) up 6.24 percent to $24.54. The VIX futures and options both set record-high volumes in January.

The VIX options turned over 366,000 contracts on the day, with 203,000 calls. The VVIX Index, which measures the implied volatility of the VIX options, was up more than 6 percent to 77.79.
Share this article with your friends


Related Stories

VIX

Videocast: Caution in VIX trading

July 31, 2014

Group One's Jamie Tyrrell says there are usually more call sellers than buyers on the first big market selloff day, but today is different.

VIX

VIX, equities rise slightly after Fed

July 31, 2014

The major equity indexes and the CBOE Volatility Index closed higher but little-changed after the Federal Reserve announced its monetary policy yesterday.

VIX

Videocast: How VIX is trading Fed

July 30, 2014

As the market declines today, Group One's Jamie Tyrrell says all of the major volatility measures are rising ahead of the Fed's afternoon announcement.

VIX

VIX above 13 with stocks at lows

July 30, 2014

Equity indexes ended yesterday's session mixed but near their lows of the day, while the CBOE Volatility Index closed near its high.

VIX

Videocast: Volume falls in VIX pits

July 29, 2014

With the volatility index continuing to remain below 20, Group One's Jamie Tyrrell says volume has dropped in VIX contracts with fewer traders buying protection.

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Education & Strategy

Why traders hedge with sector ETFs

Many people who are not familiar with options think that they increase risk, but their first and primary purpose is...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER