In the days leading up to Christmas, and various other times throughout the year, stock market trading thins considerably. Trading volume levels decrease as stock exchanges close early and many institutions are simply happy to hold onto their positions and wait out the end of the year with their gains.
Lower trading volumes mean less liquidity [...]
November 24, 2009 · 6 comments
in CME, VIX volatility, commodities, financial education, forex, hedging, indexes, investment tools, market timing, options, stock exchanges, stocks, technical analysis, wealth protection
One area of investor education that I’ve been putting off is learning about trading stock options online. This is because as risky as the stock market can be if you don’t know what you’re doing, the risk associated with options is even greater if you don’t know what you’re doing.
So why bother learning then? Because [...]
Obama and others freaked out yesterday at what came in as worsening US economic data and the lowest stocks on record for any January in the stock market history. The “fresh U.S. economic blow” is a “disaster”, Obama says. The Dow Jones Industrial Average dropped another 148 points (a 500-point drop is what happened in [...]
As you can see from the CBOE (Chicago Board Options Exchange) website, the VIX (Volatility Index) stayed pretty even at 40 today. Tell me if I’m wrong, but that’s basically the lowest volatility rating we’ve seen since the Lehman Brothers collapse of mid-September. At its highest, the VIX was up to 87 or so.
To put [...]
A “Santa Claus Rally” refers to the final week or so of trading of each year – if, that is, there is a rally in the stock markets during this time. Doesn’t look like there’s going to be for this year.
With the holidays I haven’t been around on this blog as much, but hopefully that [...]
I don’t think the markets are all that calm right now – the VIX is still hovering around the 60’s – but they are definitely calmer than they were one month ago. There’s a more long-term uncertainty now, perhaps, rather than a day-to-day disaster feeling, even if the roller coasters in the Dow are still [...]