Using The VIX As a Fear Gauge In Binary Options Trading

The VIX volatility index is a gauge of the fear and greed that market participants are experiencing and can be used as a tool to help guide binary options traders as it relates to the S&P 500 index.  The VIX is a measure of the implied volatility of the at the money calls and puts of the S&P 500 index, and reflect the level of premium that needs to be paid to purchase at the money options.

Implied volatility is an estimate of the distance the S&P 500 index will move over a certain period on an annualized basis.  For example, a VIX reading of 13.98% means that market participants believe that over the next 30 day period, the S&P 500 index will move 13.98% when annualized, or 1.17% over the next 30 days. Continue reading "Using The VIX As a Fear Gauge In Binary Options Trading"

China, U.S. & Inflation

In light of today's positive economic data out of China, I thought I would reproduce a segment from NFTRH 255 (9.8.13) that speculated upon the possibility of a new up cycle in inflation expectations based in large part on China and its credit growth cycle (on which central planners have announced a planned clampdown). 

China industrial, retail data beat forecasts

The Greenspan Fed provides a handy reference as to how long it can take for a withdrawal of policy to manifest in a new economic deceleration. Continue reading "China, U.S. & Inflation"

Gold Chart of The Week

Each Week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

Weekly Gold Report September 9th through September 13th

While the week ahead is light on economic data in the United States, the most important news that will affect global markets will still come out of the United States. Traders around the globe will look to trade any news from the White House on whether or not the US will go through with a strike on Syria.

After watching President Obama stumble through the G20 Summit last week, it will be interesting to see if the staff that writes the Presidents speeches can be convincing enough this week as Obama will look for support in the US. So far it appears that his only true International support is out of France where Socialist, Hollande stands firmly behind anything Obama says. Within the US borders, it also seems the Presidents support is drying up day after day. Continue reading "Gold Chart of The Week"

Weekly Futures Recap w/Mike Seery

We’ve asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures--- Gold futures this week saw extremely volatile trade finishing out this Friday afternoon up $14 at 1, 387 an ounce and traded as low as 1,358 this morning before the U.S unemployment report came out showing we added 169,000 new jobs which was disappointing to traders thinking that the Federal Reserve will not taper pushing many commodities higher this afternoon. Tensions in Syria as well are starting to flare-up as it looks like Pres. Obama is determine have some type of strike against Syria which also lent support to prices this afternoon as gold is kind of stuck in a range between 1,430 & 1,350 looking for some new fundamental news to dictate short-term prices. Continue reading "Weekly Futures Recap w/Mike Seery"