Learn the trade here. Make it on tradeMONSTER

Options Trading News

December 20, 2012  Thu 12:45 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
Equities were mixed yesterday as the CBOE Volatility Index spiked higher.

The S&P 500 was down 10.98 points to close at 1435.81, near its session slow, after sliding throughout the afternoon. Support is at 1414 while resistance remains at 1461.

The Nasdaq 100 followed a similar pattern as it lost 14.40 points, or 0.5 percent, to finish at 2690.99. It too jumped higher at the open and lost ground in the afternoon, then dumped into the close. Support is at 2620, and resistance will likely come first at the day's high of 2713.

The Russell 2000 was higher at the end of the day. The small-cap index peaked at 851 in the middle of the day and also declined in the afternoon, but it still closed fractionally higher at 847.89.

The surprise of the day came from the VIX, which was up 1.79 points, or 11.5 percent, to 17.36. This was an especially large gain, given the relatively tight range of the S&P 500. But it was near this level two weeks ago and closed above it on Nov. 15, the day that the SPX bounced off 1350.

The December VIX futures settled at the open yesterday, coming in at an unexpectedly high 16.69. That too was surprising, given that those futures finished trading the day before at 15.55 while the SPX was unchanged overnight.

The January VIX futures, now the front-month contracts, gained 0.95 points to close at 17.10. The February futures were up 0.75 points to 17.85.

The VIX is again above the front-month futures, and its term structure is very flat. This shows near-term concern, but still not a lot of it.
Share this article with your friends


Related Stories

VIX

Equities slightly higher after wild ride

September 18, 2014

Equity indexes spiked lower and higher after yesterday's Federal Reserve announcement but ended the session little-changed, with slight gains.

VIX

September VIX settles at 13.03

September 17, 2014

The September VIX futures settled this morning at 13.03, right where the spot CBOE Volatility Index opened the session.

VIX

VIX declines as equities rebound

September 17, 2014

The major equity indexes rebounded sharply yesterday, driving the CBOE Volatility Index lower by nearly 10 percent.

VIX

Equities drop, send VIX above 14

September 16, 2014

Equity indexes finished yesterday in the red but were above the lows of the day. The CBOE Volatility Index posted its first close above 14 in a month.

VIX

VIX above 13 as equities pull back

September 15, 2014

Major equity indexes were lower at the end of the Friday's session, pushing the CBOE Volatility Index back above the 13 level.

Premium Services

Free Webinars

Swing Trading w/ Jon Najarian and Ron Ianieri

Education & Strategy

Make your rules, and stick by them!

New traders often act on the recommendations of others or on gut feel. But that is a quick way to...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER