I have been trading on the stock market since 1986. With a background in finance and marketing, I ran a highly successful investment advice business in Australia from 1886 to 1998. After marrying my wife, Amanda, in 1998, I decided to sell my business and make trading my primary source of... More
CBOE Holdings, Inc. (Nasdaq: CBOE) announced plans today to list on C2, the company's new alternative exchange, an electronically-traded version of its flagship S&P 500 Index option (SPX), which it is calling "SPXpm." The Company submitted a rule filing to the Securities and Exchange Commission (SEC) today and plans to list SPXpm upon SEC approval.
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One economic indicator, which is quite close to the U.S. citizen’s heart, is consumer spending, which barely edged up in January as households took advantage of tax cuts to rebuild their savings, suggesting spending would offer only a modest lift to the recovery in the first quarter.
Pending Home Sales Index
Another economic indicator showed the recovery continues to elude the housing sector. The National Association of Realtors Pending Home Sales Index, based on contracts signed in January, fell 2.8 percent. Pending home sales lead existing home sales by a month or two.
To continue reading this article click on the link below:
Last week finally provided some volatility in the market place. The S&P 500 Index (SPX) was down 2% on Tuesday, and then fell some more on Wednesday. Over those two days, the index fell a total of 2.6% -- which is its biggest short-term loss since last August. The CBOE Market Volatility Index (VIX), which tends to move in the opposite direction as the market, spiked higher as a result, moving up 35% over the two-day period.
When the market begins falling, traders rush to hedge their investments to guard against a significant drop in the market. A popular way to hedge is to buy put options on the SPX. The scramble to purchase these options increases option premiums -- and, in turn, the VIX. That's why the VIX is called the "fear index."
To continue reading this article click on the link below:
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CBOE Holdings Announces Plans for S&P 500 Index Options on C2
February 28, 2011
CBOE Holdings, Inc. (Nasdaq: CBOE) announced plans today to list on C2, the company's new alternative exchange, an electronically-traded version of its flagship S&P 500 Index option (SPX), which it is calling "SPXpm." The Company submitted a rule filing to the Securities and Exchange Commission (SEC) today and plans to list SPXpm upon SEC approval.
To continue reading this article click on the link below:
http://www.stock-options-made-easy.com/cboe-spxpm.html
"Success is simple. Do what's right, the right way, at the right time."Economic Indicators -Consumer Spending and Home Sales – February, 2011
Consumer Spending
One economic indicator, which is quite close to the U.S. citizen’s heart, is consumer spending, which barely edged up in January as households took advantage of tax cuts to rebuild their savings, suggesting spending would offer only a modest lift to the recovery in the first quarter.
Pending Home Sales Index
Another economic indicator showed the recovery continues to elude the housing sector. The National Association of Realtors Pending Home Sales Index, based on contracts signed in January, fell 2.8 percent. Pending home sales lead existing home sales by a month or two.
To continue reading this article click on the link below:
http://www.stock-options-made-easy.com/economic-indicators-february-28-2011.html
Success is simple. Do what's right, the right way, at the right time.Market Indicator for the Week Ahead - February 28, 2011
VIX Spikes
Last week finally provided some volatility in the market place. The S&P 500 Index (SPX) was down 2% on Tuesday, and then fell some more on Wednesday. Over those two days, the index fell a total of 2.6% -- which is its biggest short-term loss since last August. The CBOE Market Volatility Index (VIX), which tends to move in the opposite direction as the market, spiked higher as a result, moving up 35% over the two-day period.
When the market begins falling, traders rush to hedge their investments to guard against a significant drop in the market. A popular way to hedge is to buy put options on the SPX. The scramble to purchase these options increases option premiums -- and, in turn, the VIX. That's why the VIX is called the "fear index."
To continue reading this article click on the link below:
www.stock-options-made-easy.com/market-i...