VIX Lurching Higher Off Historical Support On Greece Worries (VIX)
March 19, 2010 3:24 PM
Renewed uncertainty over the Greece bailout sent equities down and the Chicago Volatility Index (VIX) skyward. The VIX was up 5% in early morning trading, though has settled up around 3% as of 3:30 est.
Historically VIX support has been at the 16.62 level which has been tested four times the past few years. Each time the VIX reached the 16.62 it bounced fairly violently, followed by a slow decay. The downtrend has been in place Oct of 2008, each test of this downtrend failed resulting in further downward price action.
I am looking for further volatility decay after this much needed pullback off 1170 settles out. With OPEX today and a new cycle starting Monday i expect much of the same volume and price action we have seen the past month to resume.
52wk Range: 16.17 - 47.63
