Volatility Update-
-GAME ON! We are still in backwardation
-Trading VIX options
-Dollar may be a great volatility indicator
Critical Levels
-SP500 critical levels – /ES 4211 – /ES 4500
-Volatility Channel – aka Hurt Locker
-Correlation
Will YOU Fight the FED?
-Long and wrong could bring unbearable risk
-STOPs work! All too well in volatility
-not a time to bottom fish (any 5 year chart say so)
-Spreads mitigate vol exposure
-Deep in the money puts to hedge long stock
SPX Expected Move —
–last week — 149.58 (expected move)
–next week– 137.59
