Market volatility: Daily trading volumes for calls hit three-year high
Write a 1000-word comprehensive and engaging article from the script [Music] let’s talk volatility now the Market’s so-called fear gauge is seeing a pullback that should be good for stocks but is it Jared blickery has details Jared I I hadn’t heard the word valmageddon in a little while and the words come back a little bit thus far this year that there are a little bit concerns but that chart doesn’t look like volmageddon is here well if I my research I think that was 2018 and we could take a look at a longer term chart um that was when there was a problem within the vix it exploded some etns that were related to it the exchange traded notes kind of blew up and that was a separate episode what we see here the vix is at the lowest levels slightly off of these lows that we have here at least on an intraday basis but basically at the lows of one year what we’ve seen is the vix typically mean reverts so it will go higher when it reaches the bottom end of the range and it will go lower when it reaches the top end of the range so if we take a look at a three-year chart we can really see this in effect now a few years ago we it looked like we had a much higher level and I think this is actually the big mix of the vix well let me see if I can get the regular vix back up there so this is a regular vix and we had a regime of lower volatility in 2021 raised a little bit as we went through that bear Market in 2022 so the question is are we back into that lower volatility regime or just basically continuing on the same lines as last year well things could also be different this year the bottom line is somewhere between here and here is a pretty big potential for reversal to the upside I also want to show you what the entire vix Futures curve is doing you can bet on what the volatility is going to be at later dates and time so this covers the spot or the current price of the vix all the way out to November of 2023 of this year so current line that is a purple right here and here’s where it was a month ago that cyan line on February 6th so everything is shifted lower and over that time period we’ve seen the S P 500 go through some gyrations as well as the small caps and we’ll get to the small caps in a second but let me just show you what has happened uh over the last few months with the S P 500 we reached that low in October and we’ve been trying to Rally ever since and now we’ve Consolidated I’m going to bring this down to a nine month view we’ve Consolidated right above the 200-day moving average to the upside we got about 41.50 to 4200 that is a potential resistance area so until we break one of these two areas still kind of in a consolidation area now with respect to small caps because those have had those have been in the Forefront of investors attention this year this is seasonality for small caps during Munch March excuse me the purple line goes back 20 years and covers every year the cyan line covers every single pre-election year in the presidential cycle going back to 1950. so this will be three out of the four-year presidential Cycles suffice to say both of these have the uh have stocks ending up for the uh month of March and that is what typically happens in March and as you’ll see here there’s usually kind of a low or Nader for the month in the sixth trading day so we’ve probably entered that point right here and if seasonality is carrying true and we don’t have outside factors and of course we have a lot of outside factors but seasonality alone suggests that there’s clear sailing throughout the end of the month so we’ll have to see if that comes to pasture a few outside factors but yes we’ll see if that indeed comes to pass thanks Jared that includes Market Volatility Analysis. Please structure the article with appropriate subheadings in `