Hey there traders,
Since the beginning of September we have seen two consistent trends:
Pressure on the S&P 500…
and pressure on volatility futures.
Even in the face of sell offs, volatility futures have had trouble gaining any traction.
Look at this chart:
On the month for the SPY and the VXX (VXX is a good enough ETP proxy for VIX futures) are down…pretty significantly.
The S&P 500 was briefly down 10% on the month, at the same time so were the VIX futures.
So what does this mean for the market?
It could be finding a bottom…
…OR…
THIS COULD BE A LONG SLOW GRIND with little help from VIX futures for those looking for a hedge.
Your Only Option,
Mark
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