Options Trading News

November 16, 2012  Fri 1:16 AM CT

The equity indexes bounced off their session lows but still all finished yesterday in the red, pushing the CBOE Volatility Index and its futures slightly higher.

The S&P 500 was down 2.16 points to close at 1353.33. It had traded as low as 1348 and bounced into positive territory at several points, including right before the bell. Support and resistance remain at 1338 and 1395 respectively.  

The Nasdaq 100 was down 7.51 points to 2524.36. The NDX too was in the middle of its range, though it fell to session lows under 2515 just before the bell. Support and resistance are 2504 and 2650 respectively.

The Russell 2000 was down 3.72 points to 769.48, having the biggest percentage loss of the three at 0.48 percent. Support remains at 758 and resistance at 813.

The VIX was up 0.07 points to 17.99 after hitting a high of 18.64 around lunchtime at the S&P 500's low. It remains essentially in line with the short-term historical volatility of the SPX, which is also above 17 percent.

The VIX futures were also higher. The November futures gained 0.15 points to 18 even, while December futures were up 0.10 points to 19.10. The VIX futures traded 171,000 contracts, making it the fourth highest volume day ever. Wednesday was just behind with more than 169,000 contracts, putting it in fifth place.

More than 1.4 million SPX options changed hands with a put/call ratio of roughly 2 to 1. More than 458,000 VIX options traded, with 311,000 calls. But the VVIX Index, which measures the implied volatility of the VIX options, was actually down fractionally on the day at 94.54.
Share this article with your friends

Related Stories


Video: VIX traders sell premium

November 25, 2015

As activity slows the day before Thanksgiving, Group One's Jamie Tyrrell says traders are selling December 21 calls.


Video: Big call spreads in the VIX

November 24, 2015

After the VIX Weekly contracts settled at 16.56 this morning, Group One's Jamie Tyrrell says today's big trades are December and February call spreads.


Video: Complex January call play

November 23, 2015

As volume slows this Thanksgiving week, Group One's Jamie Tyrrel says the largest trade today is buying the January 19 calls and selling the January 24 and 26 calls.


Video: Will VIX hold at 16 level?

November 20, 2015

The spot volatility index is dropping below 16 today, but Group One's Jamie Tyrrell says one large put seller does not expect the VIX to go much lower.


Video: VIX call buying accelerates

November 19, 2015

Group One's Jamie Tyrrell says heavy VIX call buying continues to mount this week, with 96,000 December 27 contracts purchased today.



The fastest money in the market
View full report »

Premium Services

Education & Strategy

The art of trading

As I stated in last week's article, a break out or a break down needs to have a couple things happen before it is considered a confirmed break out or break down. The only problem is that in today's market where things move much more quicker than they did just a few years ago, two days could wind up being the majority of the expected movement, if not the whole movement.

View more education articles »