VIX pops with stocks range-bound
David Russell | firstname.lastname@example.org
Stocks remained in a tight range yesterday, but the CBOE Volatility Index closed near its highs.
The S&P 500 slipped 0.02 percent to 1841.47, fluctuating less than 4 points in the entire session. Support is at 1810, which was resistance before the benchmark index's recent breakout.
The Nasdaq 100 declined 0.11 percent to 3570.08. Support remains at 3515.
The Russell 2000 was down 0.04 percent to 1160.59. The small-cap index has support at 1132.
(When equity indexes are at highs, further resistance levels are obviously projections not based on previous trading patterns. We therefore will refrain from listing any.)
The CBOE Volatility Index, which usually moves in the opposite direction of the S&P 500, rose 8.83 percent to 13.56. It was the highest close since Dec. 20.
Video: Whipsaw moves in the VIX
August 31, 2015
Group One's Mike Palmer explains why the volatililty index saw broad swings right before and after the weekend. Traders are now focused on today's close.
Videocast: Volatility in September?
August 20, 2015
Group One's Jamie Tyrrell says traders are buying next month's calls on the volatility index, bracing against a pullback in the S&P 500.
Videocast: VIX draws September buyers
August 19, 2015
Group One's Jamie Tyrrell says large electronic buy programs are snapping up crash protection in the volatility index.
Videocast: VIX premiums down before expiry
August 18, 2015
Group One's Jamie Tyrrell says premium is getting sucked out of on volatility index calls on their last full day of trading.
Videocast: The VIX at crossroads
August 7, 2015
The volatility index has seen broad swings with the market today, and Group One's Jamie Tyrrell says traders think that the VIX can go either way from here.