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Options Trading News

March 20, 2013  Wed 1:47 AM CT

The CBOE Volatility Index surged yesterday as equity indexes closed lower.

The S&P 500 finished the session at 1548.34, down less than 4 points. It climbed above 1557 just after the open but slipped below 1539 at the low of the day. Support is at 1531 and resistance at 1564.

The Nasdaq 100 followed a similar pattern, shedding just over 5 points to close at 2787.27. It climbed above 2806 shortly after the open, then fell below 2764 before rebounding. Support is just below 2760 while resistance is at 2810.

The Russell 2000 was down 4.36 points to 942.85. Support is at 926 and resistance at 954.

The VIX was up 1.03 points, or 7.7 percent, to 14.39. The March futures, which settle this morning, were up 1.05 points to 14.75. The April futures were actually lower at the end of the day, giving up 0.05 points to close at 15.35.

Because the iPath S&P 500 VIX Short-Term Futures Note (VXX) is made up almost entirely of the April futures at this point, it was up only fractionally to 21.62. Tthe VelocityShares Daily 2x VIX Short-Term Note (TVIX) was down on the day.

More than 1.39 million VIX options traded yesterday, dominated by 960,000 calls. The VVIX Index, which measures the implied volatility of those options, was up 1.4 percent to $94.39. It is up 22 percent since March 8, while the SPX is unchanged.
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