topher2

Profiting From Market Volatility With VIX/ETF Pairs Trades

Just to be clear - they are priced as the above writer noted off of the futures - so they cannot trade below intrinsic value based on what they are actually priced off of (if that is at all clear). Furthermore, those calls that you call cheap, were exceptionally expensive (plug the futures price into an options pricing calculator, instead of the VIX spot price). If you look at the "at-the-money" calls and puts in respect to the futures price, they will look like they are priced appropriately.
VIX calls and futures should only be traded by those who really understand the product.