3,900 SPX Failed. Now What?
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. The SPX closed down 2.99 points on Monday to 3892.09. But that does not tell the story. At one point the index was up over 54 points and was breaking 3,950. Then,around mid-day, the market cracked under its own weight. VIX […]
Nonfarm Payrolls Get You Paid
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. The SPX had a day on Friday, rallying just under 87 points. The VIX dropped nicely to 21.13. It could be the beginning of a new regime for VIX … Or it could be just another bottom around 20. Regardless of […]
A Unique Market Opportunity
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. The S&P 500 closed down near the lows on Thursday, 44.8 points to 3808.10… VIX rallied marginally, moving to 22.53. But that is not what caught my eye on Thursday. It was something else… There are two major indexes that trade […]
S&P Is Gearing Up
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. The VIX closed down .89 points on Wednesday to 22.01, VVIX took it even worse falling to 77.65. VIX might not be low, but vol of vol is super cheap…why? The answer lies in the S&P 500. Movement has fallen off […]
New Year’s Fizzle
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. The S&P 500 dropped 15 points on Tuesday, off the lows but still down. The VIX closed up 1.23 points to 22.90 and is now sitting in lock step with the January future: The VIX move was mostly a weekend effect, […]
2023, Let’s Ride
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. Happy New Year! (And remember, today is the final day to tell someone Happy New Year, according to Larry David.) I have to say I am a bit surprised by the price action of VIX in the final week of 2022. […]
Not Buyin’ The SPX Rally [VIX Edge]
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. Thursday was a surprise. After all the trouble on Wednesday, there was not a good reason for the S&P 500 to rally 66 points. But it did! StiIl, I don’t buy it. And neither did VIX. We are heading into a […]
Buckle Up
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. The S&P 500 closed below 3,800 and essentially melted lower all day. The main reason being the reports of major redemptions at PIMCO. You can actually see the news hitting in the chart of iShares 20 Plus Year Treasury Bond ETF […]
It’s the Final Countdown
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move Wildly The VIX took it on the chin on Friday. When the market has an “inside day” – a day where it doesn’t move very much – traders come for volatility. VIX fell 1.10 points, landing at 20.87. Today, there is certain […]
‘Tis the Season to Own Options
The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move Wildly The S&P 500 closed down 56 points, more than 50 points off the lows, but still down 1.45%. The VIX topped out at 24.30 before backing off to only 21.97. This is the second day in a row […]