Edited by tommyt, 11 November 2009 - 11:06 AM.
VIX
Started by
tommyt
, Nov 11 2009 10:59 AM
6 replies to this topic
#1
tommyt
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Posted 11 November 2009 - 10:59 AM
VIX should now start to rise as anticipation of something bigger starts. I have bot a bunch of Jan calls and shorted stock (backspread) expecting a large move either way. The SPX hourly has a huge divergence building, either way I dont think its gonna sit still, and my bias is down.
#2
beahero
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Posted 11 November 2009 - 11:07 AM
VIX should now start to rise as anticipation of something bigger starts. I have bot a bunch of Jan calls and shorted stock (backspread) expecting a large move either way.
I agree with your view. I'm curious only: Which strike did you buy on the VIX?
#3
SilentOne
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Posted 11 November 2009 - 11:11 AM
If we take out today's lows, a BIG correction has started in everything to do with risk.
cheers,
john
"By the Law of Periodical Repetition, everything which has happened once must happen again and again and again-and not capriciously, but at regular periods, and each thing in its own period, not another's, and each obeying its own law ..." - Mark Twain
#4
tommyt
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Posted 11 November 2009 - 11:14 AM
VIX should now start to rise as anticipation of something bigger starts. I have bot a bunch of Jan calls and shorted stock (backspread) expecting a large move either way.
I agree with your view. I'm curious only: Which strike did you buy on the VIX?
i did a basket of things: SPY,VIX,GS,AMZN,TZA,CAT
#5
beahero
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Posted 11 November 2009 - 11:21 AM
VIX should now start to rise as anticipation of something bigger starts. I have bot a bunch of Jan calls and shorted stock (backspread) expecting a large move either way.
I agree with your view. I'm curious only: Which strike did you buy on the VIX?
i did a basket of things: SPY,VIX,GS,AMZN,TZA,CAT
I guess I misunderstood your post with a reference to VIX followed by a statement that you bought calls. Perhaps you're saying you have a synthetic backspread with long calls hedging your short shock (& ETF) positions...?
Anyway, I was really only trying to get a sense for what strike levels you thought might soon go into the money on the VIX?
#6
tommyt
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Posted 11 November 2009 - 11:23 AM
Anyway, I was really only trying to get a sense for what strike levels you thought might soon go into the money on the VIX?
I bot VIX 25 strike calls.
#7
entre
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Posted 11 November 2009 - 01:29 PM
If there's one thing that we learned it's that a 70 point decline in the spx got the attention of the Fed and its bigazz pile of money. It's reasonable to assume they will not willingly allow a 70+ pt decline as long as they still have money to prop with.
