S&P 500 volatility hold

BY MARK SEBASTIAN 

April 2, 2024

Hey Traders,

 

We continue to see the pattern of the S&P 500 and S&P 500 volatility hold

As the market grinds higher,  volatility is cycling higher and higher….Higher lows…and higher highs.

 

With the latest round culminating ahead of the long weekend and the S&P 500 breaking 5250 with futures over 5300.

 

Since the VIX bottomed last week the part that is a touch concerning is the move in the VIX futures since last Wednesday:

In 2 days VIX futures have rallied about .75…that is a pretty strong move given the S&P 500 closed higher on Monday than it did last Wednesday.

 

I think this all ends around interest rates or potentially around something we have failed to see in front of us.

 

Either way…in the next few weeks we have non-farms,  CPI,  and earnings…

 

While S&P 500 movement has tailed off I think it is only temporary…I like strangles for a week from Friday,  they cost less than 70 dollars.

 

Speaking of temporary…I have discussed a couple of times how much I love to trade UVIX and UVXY when they reverse split….guess what….UVXY is reverse splitting.

 

I am going to trade this AND i am going to put on a trade,  where I spend 1000 dollars and do not touch it…my 1000 dollars is going to double…just like the last time I put this trade on….you can join Trade Desk with a special price by clicking here….or call my team with questions 888 872 3301.

 Your Only Option,

 

Mark Sebastian

 

Mark Sebastian

Founder & CEO, Option Pit

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Mark Sebastian

Mark Sebastian

Mark Sebastian is a former member of both the Chicago Board Options Exchange (CBOE) and the American Stock Exchange (AMEX), where he spent years mastering the art of options trading in the most competitive environment imaginable. As Chief Investment Officer at the hedge fund Karman Line Capital, Mark manages sophisticated options strategies for institutional clients. He is the author of two highly regarded books on options trading: ‘The Option Traders Hedge Fund’ and ‘Trading Options for Edge.’ Mark is a frequent guest on major financial networks including CNBC, Fox Business News, Bloomberg, and First Business News, where he provides expert commentary on market volatility and options strategies.

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About the Author

Mark Sebastian

Mark Sebastian

Former CBOE floor trader and CIO at Karman Line Capital. Author of ‘The Option Traders Hedge Fund’ with over 30 years of options trading experience.

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