Volatility Views

What happens when the AI trade unravels and volatility punches back? Mark Longo welcomes volatility expert Bill Luby and Mark Sebastian of Option Pit to break down a tumultuous week for tech stocks, VIX futures and volatility trading. The panel examines the AI sell-off, post-election uncertainty surrounding data centers, and the unusual market signals that caught traders' attention before the rout. Was this panic selling—or a major position unwind with more room to run? On this episode: • VIX and VVIX surge as the tech trade comes under pressure. • VIX futures swing rapidly from contango into backwardation. • Mark Sebastian explains why unusual market behavior gets him thinking about buying gamma. • ETF options gain ground as leveraged and single-stock ETFs expand traders' choices. • VIX puts take center stage, including November 18 puts and downside spread activity. • The panel discusses SVIX reentry, compounding decay and the risks of buying the dip in inverse volatility products. • Why selling naked VIX calls earns an unexpected comparison to fighting Butterbean. • The crew makes its next round of VIX forecasts in the Crystal Ball. Plus, illness sweeps through the lineup, Bill reflects on his VIX and More archives, and the panel brings some much-needed humor to a bruising week.

Tech stocks are getting wrecked, crypto fears are spreading and VIX is surging as Volatility Views unfolds. Mark Longo and Russell Rhoads break down a turbulent session driven by disappointing tech earnings, concerns about AI spending and uncertainty heading into the midterm elections. The duo examines the VIX futures term structure, heavy VIX options activity and the volatility ETF and ETN action in SVIX, UVXY, UVIX and VXX. Russell's Weekly Rundown features speculative three-cent calls, election-week volatility bets and a timely call purchase that raises the question: when should traders take profits? Plus: a farewell to Trade Alert, Dr. VIX prepares for his Australian walkabout and ChatGPT joins the hosts in predicting next week's VIX level. Can the robot overlords outforecast the humans?

VIX is back above 20, stocks are under pressure, and volatility traders have plenty to unpack as Mark Longo and Russell Rhoads celebrate 700 episodes of Volatility Views! On this episode, we break down the market fallout from Meta and Tesla earnings, mounting concerns over AI spending, and what a flatter VIX futures curve reveals about demand for protection. Is volatility establishing a higher floor, or are traders still eager to sell every spike? We also explore: • VIX, VVIX and VOLI—and what skew reveals beneath the surface. • Unusual VIX options activity, weekly trades and a sizable ratio spread roll into December. • October VIX settlement and the challenges of monetizing volatility hedges. • SVIX, UVIX, UVXY and VXX performance, options activity and liquidity. • Russell's approach to weekend volatility exposure. • Our next round of Crystal Ball VIX forecasts. Plus, Mark recaps ALTSO's Rocktoberfest charity event, and we reflect on 700 episodes of navigating the volatility markets.

VIX surges while we're recording, turning an already unsettled market into a wild ride for volatility traders. On this episode, Mark Longo and Russell Rhoads welcome Dr. Larissa Adamiec, Clinical Associate Professor at Purdue University, to unpack the sudden jump in market fear, shifting VIX futures prices and a rush of options activity. Are inflation concerns, rising Treasury yields and worries about AI valuations rattling investors? The panel explores the potential catalysts and what the relationship between VIX and its futures may reveal about market anxiety. Plus, Russell breaks down notable VIX options trades, including deep in-the-money put spreads and the debate over risk, margin and capital efficiency. We also track the action in SVIX, UVIX, UVXY and VXX, discuss broker restrictions on volatility products and revisit our weekly Crystal Ball predictions after a move nobody saw coming.

Volatility spikes are giving traders little time to cash in—but that hasn't stopped someone from scooping up five-cent VIX lottery tickets. Mark Longo, Russell Rhoads and Scott Nations break down a whipsaw week for stocks, the brief return of demand for downside protection and the challenges of capturing gains when VIX rallies quickly fade. On this episode of Volatility Views, the panel debates whether perpetual VIX futures could bring traders closer to tradable spot VIX—or disrupt the existing volatility market. They also examine unusual VIX options activity, including November 110 calls, deep-in-the-money put spreads and a call ratio spread positioned for a modest volatility rebound. Plus, Mark explains why he closed out his SVIX position, Scott discusses the new edition of Options Math for Traders, and the panel delivers its latest VIX and VOLI forecasts. Topics include VIX futures and term structure, volatility skew, election risk, weak market breadth, SVIX, UVXY, VXX and managing bullish volatility trades.