The Week in VXST – 11/17 – 11/21

VXST came under a bit of pressure to end the week due to the S&P 500 reaching more new highs.  The stock market strength combined with the impact of this coming week being a holiday shortened week.  For those new to VXST the explanation behind the previous sentence is the index is based on calendar days and when there is a market holiday a little downside pressure is placed on VXST.


Despite the spot index moving lower, the future that expires this Wednesday on the open is actually a little higher than this time last week.  Pretty interesting with the holiday in front of us and record SPX closing prices just behind us.

VXST Curve

Option trading continues to attract increased interest in the VXST arena.  Despite the S&P 500 moving higher, the VXST pit saw bullish demand for Dec 10th Calls this past week.  On Tuesday, with VXST around 11.30 and the Dec 10th VXST future around 15.35 there was a buyer of 500 of the VXST Dec 10th 20 Calls for 1.00.  The trader in this case is hoping for a quick move up in VXST and hence a quick drop in the S&P 500.