As I looked through the stats of today's market selloff, I noticed a few interesting things. The most significant was this: for how much the SPX was down, IV did not seem to rally very hard.
With the market up big and coming off of a bit of a selloff, it is not much of surprise that the VIX is breaking 16 again.
So I was reading the my quote in reuters (picked up by the WSJ) when I realized that many people might not know what I was talking about when I said 'http://blogs.wsj.com/marketbeat/2011/0
If you like to follow Adam Warner's tweets (something every real option trader should do) you know that every Monday he likes to remind all option traders that just because the VIX is up, does not
In a conversation between one of my more experience option mentoring students and one of my less experienced students, they discussed whether a long
First Some Business:
I had an interesting discussion with an options mentoring student today about SLV. We were looking at this chart of SLV:
Prior to the reverse split I (rightly) predicted that the stock was going to have a rough go of it over the next few weeks. I held a C 4.5 puts.