The VIX remains within the November 2016 bear trend, highlighting potential downside risks in the coming weeks. However, signs of stabilisation are appearing as bearish stochastics and momentum studies continue to unwind. Strengthening in the Tension Indicator (not shown) also suggests improvement, with further downside risks expected to remain limited. A break...
Typical strategy for me is to go long volatility when they are low, with Options. Buy some time, long enough, to make the trade mature. (3 to 4 months time) if it does not happen, Then roll it out (2 more months) with 1 month to expire. VVIX - volatility of volatility index. There are many ways to go long volatility. Use one and set it out for a good ride....
HIDDEN Bull dvg in all 3 indicators >> Let's see if that could bring VIX a little bit more to the upside again, after hit a low right under 10. Level 13 and 15 is interesting.. FIB 1,618 = 14,8
VXX is acting strong today. However, market has animal spirit right now and it pays you if you short Vol than going it long. Short VXX as soon as it hits 20MA! Stop is close above 50MA!
The last time we were at such lows in the VIX, we had a global financial meltdown. I'm not calling anything on another meltdown, that's not my job. Simply looking to take a little stab at volatility returning. Currently we find ourselves in the longest period of time that the S&P 500 has had a 1% move, higher or lower. I'm buying Calls on VIX, April 2017 $14...
Sometimes things are what they seem and not others. I believe this is the first case, seeing the graph and events that lie September seems very clear that it will not be easy. Surely we see comings and goings, false breaks and volatility, much needed volatility. Today is Friday and almost just another week of intense work, rest coming times...
There are a few names popping up on my radar for earnings plays, but when I "look behind the curtain," they aren't that attractive ... . TEVA, for example, announces on Monday, but it's an ADR, so it could be before market open or after market close or, indeed, not at all, but on some other day. It's tough to put on a volatility contraction play when you don't...
This is another one of them there "Term Structure" trades which use the VIX futures as a guide for the short call strike. Here, I'm using /VXH7, which is the March VIX futures contract, which is currently trading at 15.72, so I'm using the 16 short call in VIX. ... Filled for a .71 credit. Notes: This is a little bit farther out in time than I generally like to...
As we know the volatility index VIX is inversely correlated with the market performance – the higher the VIX, the lower the market. Currently VIX is at record lows and the question how long it could stay there is relevant to many investors. On the chart I have marked an interesting relation in the VIX - a cyclical patterns. Some of my findings: 1. Spring months...
DAX is testing a broken uptrend line (as resistance). With structure, broken trend line, 2 MA lines and minor downtrend line - 11,600-11,650 makes a potential Sell Zone 11,500 and 11,450 are the short term target zones
If you're a premium seller, you're probably doing a bit of hand-sitting here (again) with VIX again at sub-12 levels. There are, however, a few things that could prove productive ... . NVDA: With a six-month implied volatility rank of 85% and general background implied volatility of 55%, it's ripe for a volatility contraction play. They announce earnings on...
We just broke through the 200 ema and key area of 0.995. Now targeting 0.95 for starters. Entry is 0.989 stop loss is 0.997. Trade offers a 5:1 risk/reward.
Running through my implied volatility screens, it doesn't look like next week looks very promising for premium selling at the moment. A couple of earnings play possibles are out there, however, one of which is X, whose 6-month implied volatility rank is at 78, with a background implied volatility of 69, which means my earnings play/volatility contraction "smell...
"In order to prepare for the potential volatility ahead, Ms. Xu recommends investors buy VIX call spreads, an options strategy that involves purchasing call options at a specific strike price while also selling the same number of calls with the same expiration but at a higher strike — the level at which the contracts can be exercised." FROM WSJ on.wsj.com What...
Today we could see some fireworks