Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: marginmike who wrote (99647)	6/22/2004 10:29:58 PM
From: skinowski	Respond to of 209892

That is possible, of course. But let's remember that it is still a bear market. Probably it is still prudent to be suspicious of complacency.

To: marginmike who wrote (99647)	6/22/2004 10:30:34 PM
From: mishedlo	Respond to of 209892

vix could be signaling big move up not down ala 1999. Low vix with big put buying is a toss up. In 1999 led to big time rally Who says there is big put buying? There was last month but those are now toast. Over 1.8 million PUTs on the QQQ alone went up in smoke last month. An additional .8M calls went to heaven. Nowhere near that many this month. Options lighter this month (so far than any of the last 2-3 months) Mish

To: marginmike who wrote (99647)	6/22/2004 11:08:57 PM
From: ild	Read Replies (2) \| Respond to of 209892

IMO low VIX and especially low VXN, weird P/C are all symptoms of desperate attempts by the boyz selling volatility to still make a few cents. Selling volatility was very good game till end of 2002. Did you see in recent months huge trades in very low cost OTM QQQ puts or calls. They used to cost much more and it was a good source of profit. I used to sell them without realizing that I was "selling volatility". Now this game is over. I suspect big and small houses/hedge funds developed some software that sells volatility "with very low risk" that does some kind of "dynamic hedging". First guys who did it made good $$$. Now the game is over. The rules of the game have changed, so applying TA is misleading in this case. Of course all IMVHO. I understand that calling TA "misleading" on this thread could be dangerous to my health. -g-