Monday 15 December 2014

Volatility maxing out

With equities having (probably) put in a cycle low of sp'1982, the VIX has started to cool, settling -3.1% @ 20.42. There were some very 'kooky' price prints (as high as 24.83) across the day, but most are to be dismissed as 'unreliable'.


VIX'60min


VIX'daily3


Summary

*the spikes on the 60min, or small trading cycles are truly bizarre. There were a fair few 'weird prints' on the VIX on Friday, but today was a consistent day of 'weird' price action.

Frankly, I've no idea if it was merely a CBOE problem.... but whatever it was.. the spike prints are arguably to be dismissed as 'noise'.
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VIX looks set to cool into year end. By mid/late January, VIX 12/10 zone looks very viable, not least if sp'2100s.
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more later.. on the indexes