Volatility rebounds as equities slip
Chris McKhann | [email protected]
Equity indexes lost a bit of ground yesterday, ending their recent winning streak and driving the CBOE Volatility Index higher.
The S&P 500 was down 6.24 points to 1676.26. It dipped below 1672 at midday and then bounced around from there. The index's intraday high of 1687 may continue to be resistance, while support is at 1629.
The Nasdaq 100 fell just over 2 points to 3077.46, right in the middle of the day's range. It has resistance at 3170 and support at 3000.
The Russell 2000 lost 4.55 points to finish up at 1038.75. It has resistance at 1085 and support at 1018.
The VIX added 0.63 points, or 4.57 percent, to close at 14.42. Its session high of 14.56 came about 30 minutes before the bell.
The VIX futures followed suit. July futures, which settle this morning, rose 0.20 points to finish at 14.25. The August VIX futures gained 0.45 points to close at 16.20. This had the iPath S&P 500 VIX Short-Term Futures Note (VXX) up 2.59 percent to $17.41.
Videocast: Big selling in VIX calls
May 6, 2015
Even as the market falls for the second day in a row, Group One's Jamie Tyrrell says a big player sold 30,000 May 18 calls.
Video: Muted activity in VIX calls
May 5, 2015
Even with the May futures rising above 15, Group One's Jamie Tyrrell says there has been surprisingly little interest in buying VIX calls.
Video: Traders target VIX 14 level
May 4, 2015
The volatility index is positive despite gains in the S&P 500, bucking their usual inverse relationship, and Group One's Jamie Tyrrell says traders continue to target the VIX 14 level.
Videocast: May VIX call buys return
May 1, 2015
With VIX futures falling as the market rebounds today, Group One's Jamie Tyrrell says 38,000 VIX May 18 calls were purchased today.
Videocast: VIX traders turn to June
April 30, 2015
Group One's Jamie Tyrrell says volatility traders are targeting June VIX contracts today as the recent heavy May call buying has apparently subsided.