With problems in Euroland continuing to grow (Italy, etc.), and
with the debt ceiling talks moving towards a deadline over the
coming weeks, I think there's a very good chance that we will move
into heightened volatility -- The VIX has been remarkably well
contained of late, but with the VIX near a strong support zone and
the stochastics in oversold territory getting long volatility seems
like a good trade right now.
Volatility likely to increase
Posted by puma on 10th of Jul 2011 at 03:29 pm
With problems in Euroland continuing to grow (Italy, etc.), and with the debt ceiling talks moving towards a deadline over the coming weeks, I think there's a very good chance that we will move into heightened volatility -- The VIX has been remarkably well contained of late, but with the VIX near a strong support zone and the stochastics in oversold territory getting long volatility seems like a good trade right now.
VIX DAILY