Options Investors Are Starting to Hedge the Rally

The video discusses the S&P 500's resistance level at 2800 and its recent one-month implied volatility trends. It highlights the market's stability post-earnings season and reduced geopolitical risks. The video also examines open interest in major indices like the S&P 500, IWM, and VIX, noting increased hedging activities. The VIX's rising call interest suggests strategies for managing volatility.

What recent trend has been observed in the S&P 500 index's one-month implied volatility?

• It has fluctuated significantly.

• It has increased by one point.

• It has remained stable.

• It has dropped by almost one point.

What does the increase in S&P 500 put open interest suggest?

• Investors are primarily engaging in outright shorting.

• There is a trend towards hedging rather than shorting.

• The market is experiencing a bullish trend.

• Investors are reducing their positions.

How has the IWM put open interest changed recently?

• It has increased by 18%.

• It has decreased by 10%.

• It has remained unchanged.

• It has increased by 30%.

What does the rise in VIX call open interest indicate?

• Investors are hedging or betting on increased volatility.

• Investors are reducing their exposure to volatility.

• The market is expected to remain stable.

• Investors are betting on decreased volatility.

By how much has the VIX call open interest increased over the past two weeks?

• 10%

• 30%

• 50%

• 18%