Huge rallyin the SPX today. Its currently acting like its abou to make a run at the 200 DMA again. Yet, notice despite this rally being bigger than any of the sell off's last week, VIX barely budged (even if the futures did drop nicely). In fact, SPX closed at the highs of the day, and VIX was well off the lows of the day. Additionally take a look at the chart below.
Kind of an ugly day in the market or make that an ugly week for the longs. For the first time in a while I am seeing the move up in VIX outpace the drop in stocks. Yeah we had a 1% move but 20 VIX seems like there is something to worry about. The two biggies are rates and oil. Let’s talk the oil producers.
XOP is up on the day on a down day for oil and stocks in general. Granted the ETF has been hit with the ugly stick but even AMZN is down today. The craptastic names should be doing worse. Lo and behold take a look at the volume in COG.
For those VIX watchers today was interesting. The market held a tight range and yet VIX moved higher. Infact over the last couple of weeks that has been the case, IV rallying, HV falling: