Volatility Views 299: VIX Is Back...Again

Published: March 26, 2018, 7:31 p.m.

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Volatility Review Segment: A look back at the week from a volatility perspective

  • The market in tanking on trade war concerns.
  • Steel tariffs - officials are not loving it.
  • VIX cash is back in the 20's this week.
  • VVIX - 122; VIX Options: ADV - 1M, VIX call/put - 2.4/1, Total 7.26m (5.11m Calls, 2.15m Puts)
  • How's the VIX July 10-75 strangle?

Volatility Voicemail: Listeners weigh in

  • Question from BTBurg - What is the best way to trade these inverse VIX ETFs going forward? If I'm long XIV does it make sense to always have some VIX calls in my back pocket just in case? Doesn't that get expensive really quick? What about spy puts? Or should I just have puts on the inverse ETF in case the counterparties get cold feet?
  • Question from JelloFan - VXX 1-yr 50% OTM puts plus VIX 3 month 15% OTM call verticals - 5 or 10 handles wide. Is that the secret sauce?
  • Question from LNC -$SVXY calls suck now. What about selling the puts? Is there any juice in those or have they been drained as well by the bid redo last week?
  • Question from Oswald -Are you part of the SVXY class action?

Crystal Ball: Your prognostication headquarters

Last week

  • Mark L. - 15.15
  • Andrew - 14.75

This week

  • Mark L. - 16.85
  • Mark S. - 17.76
  • Euan - 19.50
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