While I am interested in talking about the metals again today, I think the more interesting place to look at volatility is in the SPX term strucuture. As I have often said, anytime I see SPX front month fall more than 2% below SPX second month I begin to look for opportunities to put on short time spreads. We are getting close:
Looking at the a short ES 1355 time spread, the spread closed at 10.75. If I could sell the spread at 11.00 or 11.25 in the next few days I think that would be a very favorable spread.
I would also note that while initially SPX IV fell today, today, IV actually started to tick up in the final few minutes.
Short one today because I am going to be speaking on the VIX in about an hour (6 EST), if you haven't registered email jill.malandrino@thestreet.com in the next 30 minutes. Ill be back with a full long blog tomorrow.
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Do not forget, anniversary month is closing this week, if you are looking to be a Level 2 or 3 students, there will never be a better deal, dial (888) Trade-01 or email me mark@optionpit.com for more info. On Thursday, I will be in Naples, FL LIVE, you can dial (888) Trade-01 for more info.
I will be speaking LIVE at the CBOE on May 7th. The subject is Trading the VIX. It will be a perfect follow up to my presentation on Wednesday. This is perfect opportunity to support this blog by learning about a subject you probably care about anyway. Register here: VIX
