OptionsHouse

Options Trading News

May 29, 2012  Tue 11:21 AM CT

VIX: SEE CHART GET CHAIN FIND STRATEGIES
The CBOE Volatility Index is up even as the S&P 500 gains, which is unusual because the two indexes typically move inversely.

The VIX was down earlier with the strong market rally, which boosted the SPX almost to 1335. But now that the S&P has pulled back 11 points from that peak level, the VIX is up more than 2 percent to 22.22 after hitting an intraday high 22.29.

Much of the rise in the VIX could have been anticipated as SPX options are repriced after the long weekend. (The volatility index is based on those options.)

The VIX futures, on the other hand, are all lower. The June and July futures are both down 0.45 to 24.10 and 25.65 respectively. VIX option volume is relatively light at 158,000 contracts.
Share this article with your friends


Related Stories

VIX

Video: VIX traders are selling premium

February 12, 2016

With the market rallying today, Group One's Jamie Tyrrell says traders are selling options to collect premium ahead of the three-day weekend.

VIX

Videocast: VIX calls target 2008 level

February 11, 2016

Group One's Mike Palmer says at least one trader is buying VIX May 70 calls, looking for levels not seen since September 2008.

VIX

Video: Huge VIX call spread in focus

February 10, 2016

Group One's Jamie Tyrrell says traders are taking both sides of the VIX March 30/50 call spread, with heavy volume at yesterday's close taking it to 500,000.

VIX

Video: Big call selling in volatility index

February 9, 2016

With the market "all over the map today," Group One's Jamie Tyrrell says traders are selling the VIX February 28 calls and the March 30/40 call spread.

VIX

Video: Call buyers chase spike in VIX

February 8, 2016

Group One's Jamie Tyrrell says traders are buying February calls in the VIX amid today's market drop, targing the 25 to 29 levels.

OptionsHouse

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Upcoming Webinar:

Using Options For Income

http://bit.ly/1nY1OKA

Jon Najarian and Adam Mesh of Options Wealth Machine discuss a detailed strategy utilizing credit spreads to generate income, and how any level of trader can use this simple trading technique.

Education & Strategy

Sweet Spot Exceptions

As discussed last week, when using the Stock Replacement Strategy to replace a stock position to trade direction, we want to use an option that has very similar characteristics to the stock. We talked about using the deep in-the-money, 80 to 85 delta option that is similar in the Greeks and has relatively little extrinsic value which tends to work against us in stock directional trading.

View more education articles »