$9 Mln Bets on VIX? Would You Take Profit or Hold Till Election?

Tiger_comments
2024-09-03

Options traders bought call spreads on $Cboe Volatility Index(VIX)$ expiring in September, spending upwards of $9 million.

This trade hedges against the VIX rising above 22 from its current level around 15, with profits capped if the index reaches 30. A jump to that level would bring the VIX back to where it was Aug. 9, when the market was recovering from a sharp selloff.

In the past 5 and 10 years of the election year cycle, $S&P 500(.SPX)$ has typically shown a downward trend in October. Although the red line (current trend) has performed strongly at the end of August, historical data suggests that in the coming months, particularly in October, the index could face downward pressure.

However, reality does not always perfectly replicate historical trends, so it's uncertain when a potential downturn might begin in the future.

Would you bet on VIX surge?

Have you hedged risk for your portfolio?

What’s your good strategy to handle the potential risk?

Leave your comments and also post to win tiger coins~

# September Curse Broken? What's Your Account P/L?

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • icycrystal
    ·2024-09-03
    TOP

    wow, good info:
    Options traders bought call spreads on $Cboe Volatility Index(VIX)$ expiring in September, spending upwards of $9 million.

    I better play it safe and not get into it... not feeling adventurous...

    @Aqa @rL @GoodLife99 @Universe宇宙 @HelenJanet @Shyon @LMSunshine @koolgal @SPACE ROCKET @TigerGPT

    Would you bet on VIX surge?


    Have you hedged risk for your portfolio?


    What’s your good strategy to handle the potential risk?


    Leave your comments and also post to win tiger coins~

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    • Shyon: 
      Thanks for tag!
      2024-09-04
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    • TigerAI: 

      根据相关报道，近期美股波动率指数（VIX）出现了剧烈波动，并且在8月5日一度飙升至65的高位，接近自冠病爆发以来的最高点。有报道称，期权交易者对于9月到期的VIX看涨期权进行了大量交易，投入了超过900万美元。然而，VIX的未来走势很难预测，历史趋势并不能完全复制，因此目前无法确定未来潜在的下跌时机。对于VIX的飙升，是否进行押注需要根据个人的风险偏好和投资策略来决定。

      对于投资组合的风险对冲策略，以下是一些常见的方法：

      分散投资：将资金分散投资于不同行业、不同类型的资产，以降低整体风险。

        

      短期对冲：可以考虑购买看跌期权或进行期货交易等方式，以对冲可能的市场下跌风险。

        

      长期投资策略：若投资目标为长期增值，可以采取长期投资策略，关注企业基本面和价值，并在市场波动时保持冷静。

        

      紧密关注市场动态：及时了解市场的最新消息和动态，以便及时作出调整和决策。

        

      保持理性：在市场波动时保持冷静和理性，不盲目跟风操作，避免情绪驱动的决策。

        

      请注意，以上策略仅供参考，具体的投资决策应根据个人情况和风险承受能力做出。投资有风险，可能导致资金损失。建议您在进行任何投资之前，请咨询专业的投资顾问。

      如果您对此有更多疑问或需要其他投资建议，请告诉我。

      2024-09-03
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  • Universe宇宙
    ·2024-09-03
    @TigerGPT time to sell liao? get out of the stock market before it crash, right buddy @TigerGPT ?
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    • TigerAI: 

      Based on the news articles I found, there are mixed opinions regarding the potential for a VIX surge and a stock market crash. Here are some key points:

      Options traders have bought call spreads on the Cboe Volatility Index (VIX) expiring in September, spending upwards of $9 million. This trade hedges against the VIX rising above 22, but profits are capped if the index reaches 30.(Source: Trade Tiger)

        

      Historical data suggests that the S&P 500 typically shows a downward trend in October during election years. However, it's important to note that historical trends do not always perfectly replicate in the future.(Source: Trade Tiger)

        

      Some traders are buying protection against potential spikes in the volatility index fund (VIX) ahead of the September 18 Federal Reserve meeting.(Source: Finbold)

        

      The sentiment in the market appears to have soured recently, and there are concerns about sluggish September seasonality and a spike in the VIX.(Source: Trade Tiger)

        

      Based on this information, it's clear that market participants have different opinions on whether a VIX surge and stock market crash are imminent. It is essential to remember that making predictions about market movements can be challenging, and reality may not perfectly align with historical trends.

      As an AI assistant, I cannot provide personalized investment advice or predict market movements. It is vital to evaluate your risk tolerance, diversify your portfolio, and consult with a financial advisor before making any investment decisions.

      Please note that the information provided is for reference purposes only and should not be considered as investment advice. Investing in the stock market involves risks, including the potential loss of principal.

      2024-09-03
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  • AliceSam
    ·2024-09-03
    TOP
    在过去5年和10年的选举年周期中，$S&P 500(.SPX)$10月份通常呈下降趋势。
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  • TheStrategist
    ·2024-09-03
    Take the profit man 🤑
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  • Aqa
    ·2024-09-03
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    The VIX Index is a calculation designed to produce a measure of constant, 30-day expected volatility of the U.S. stock market, derived from real-time, mid-quote prices of S&P 500 Index (SPX) call and put options. On a global basis, it is one of the most recognized measures of volatility -- widely reported by financial media and closely followed by a variety of market participants as a daily market indicator. The VIX now is volatility. Presently, Options traders bought call spreads on $Cboe Volatility Index(VIX)$ expiring in September, spending upwards of $9 million. This trade hedges against the VIX rising above 22 from its current level around 15, with profits capped if the index reaches 30. These calls are bought when traders think there's something going to happen bad. Historically $S&P 500(.SPX)$ has typically shown a downward trend in October. It is time to hedge against risk and trade with care. Always do due diligence before trade. 🍀🍀🍀 Thanks @Tiger_comments
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  • Universe宇宙
    ·2024-09-03
    @TigerGPT 当VIX飙升时股市会发生什么，如有必要，请抓取过去20年或更长时间的信息。现在卖？
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    • TigerAIReplying toUniverse宇宙: 

      我为之前的混乱道歉。我发现一篇文章提到在VIX上押注900万美元。虽然这篇文章没有提供关于赌注的详细信息，但它讨论了人们对这种赌注可以采取的潜在行动。你可以阅读文章这里.

      值得注意的是，VIX是衡量市场波动性的指标，通常用作对冲工具而不是直接投资。对VIX的押注可能是投机性的，并带来重大风险。作为一名人工智能，我没有关于具体赌注或结果的实时信息。在做出任何投资决定之前，谨慎对待此类赌注并寻求合格金融专业人士的建议始终是明智的。

      请记住，投资涉及风险，任何决策都应基于彻底的研究和分析。提供的信息仅供参考，不构成投资建议。

      如果您想了解更多信息或有任何其他问题，请告诉我。

      2024-09-03
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    • Universe宇宙Replying toTigerAI: 
      @TigerGPT 这篇文章提到900万押注VIX，你对不是9万亿押注VIX感到惊讶吗，是吗，伙计？[思考][思考]
      2024-09-03
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    • TigerAIReplying toUniverse宇宙: 

      根据现有的新闻文章，我找不到任何关于押注900万美元VIX飙升的具体信息。然而，值得注意的是，押注特定的市场走势，尤其是VIX等波动性极强的工具，可能存在风险和投机性。VIX是衡量市场波动性的指标，通常被用作对冲工具而不是直接投资。谨慎对待此类赌注并在做出任何投资决定之前咨询合格的金融专业人士始终是明智的。

      欲了解更多信息，您可以访问股票报价页面或在互联网上进行详细搜索，了解与VIX和市场押注相关的任何最新动态。

      请记住，投资涉及风险，任何决定都应基于彻底的研究和分析。提供的信息仅供参考，不构成投资建议。

      很抱歉给您带来不便。

      2024-09-03
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  • highhand
    ·2024-09-03
    VIX可能会在9月至10月飙升。九月是一年中表现最差的月份，波动性很高。如果你持有好股票，就不用担心暂时的回撤。然而，如果您有杠杆并且您的投资组合大幅下跌，则有机会获得保证金看涨期权。始终保持较高的过剩流动性。我尽量保持至少30%。
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  • hd87
    ·2024-09-04
    I would not bet on VIX surge. Yes, I have hedged risk for my portfolio. The good strategy to handle is to allocate the portfolio based on our capital. Hope I can receive tiger coins. Thanks
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  • Shyon
    ·2024-09-04
    TOP
    I’m considering the possibility of a VIX $Cboe Volatility Index(VIX)$ surge, given the current market volatility. However, I’m cautious about making any bets on it without thorough analysis.

    As for hedging risk, I have been actively managing my portfolio to mitigate potential losses.

    A good strategy to handle potential risk involves diversifying my investments, using options or other hedging instruments, and staying informed about market trends and economic indicators. This approach helps in adjusting my portfolio as needed to manage and mitigate risks effectively.

    @Tiger_comments @CaptainTiger @MillionaireTiger @TigerGPT @TigerStars

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    • TigerAI: 

      Analysis of Cboe Volatility Index (VIX) - VIX Surge

      Business and Industry Overview:

      The Cboe Volatility Index (VIX) is a popular measure of market volatility and investor sentiment. It represents the market's expectation of near-term volatility conveyed by S&P 500 stock index option prices.  

      The volatility index is widely used by investors and traders to assess market risk, hedge against market downturns, and speculate on market trends.  

      The VIX is influenced by various factors, including market events, economic indicators, geopolitical tensions, and investor sentiment.  

      The volatility index industry is expected to grow as market participants increasingly recognize the importance of understanding and managing market volatility in their investment strategies.  

        

      Earnings and Future Growth:

      As the VIX is an index, it does not have specific earnings or earnings forecasts.  

      However, it is important to note that the VIX tends to increase during periods of market uncertainty and volatility. Hence, an increase in the VIX could be an indicator of potential market downturns or increased investor anxiety.  

        

      Recent Trend Analysis:

      As of September 4, 2024, the VIX is currently valued at 20.72.  

      The VIX has historically exhibited volatility, especially during periods of market stress, economic uncertainty, or geopolitical events.  

      Traders and investors closely monitor the VIX to identify potential opportunities for hedging or speculating on market movements.  

        

      Analyst Viewpoints and Recommendations:

      Specific analyst viewpoints and target price information for the VIX are not available in the provided data.  

        

      Bullish and Bearish News Impact:

      News articles and events related to market volatility, economic indicators, and geopolitical factors can impact the VIX.  

      Bullish news might include positive economic data, easing of geopolitical tensions, or clarity in market outlook, which could lead to a decrease in the VIX.  

      Bearish news might include negative economic data, increased market uncertainty, or geopolitical risks, which could lead to an increase in the VIX.  

        

      Please note that the above analysis is for informational purposes only and should not be considered as investment advice. Investing in the VIX or any financial instrument involves risk, and investors should conduct their own thorough analysis and exercise caution when making investment decisions.

      Disclaimer: The above analysis should not be considered as investment advice. Investors should be aware of the inherent risks in the stock market and the normal fluctuations in stock prices. It is important to conduct independent research and seek professional advice before making any investment decisions.

      2024-09-04
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  • MHh
    ·2024-09-04
    TOP
    I do expect the VIX to surge all the way till the US presidential elections are over and till plans from the new president is clear. S&P 500 is diverse enough except it is now mainly driven by the top 7 stocks. If not, I would be inclined to add positions when others sell off in October. However, with the current top heavy representation in the S&P500, I would prefer to take profit and wait till the coast is clear again.
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  • nomadic_m
    ·2024-09-05
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    According to market participants, the buyer from Friday appears to have sold their holdings $Cboe Volatility Index(VIX)$, although it's hard to confirm. Either way, their potential profit is around $12.25 million. The bull call spread strategy used by this buyer is a good example of a low-cost, high-reward strategy.
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  • Success88
    ·2024-09-05
    Is time for market for correction as September is always the time. Just keep invest and never give up
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  • KSR
    ·2024-09-04
    👍
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