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High-Beta Is Getting Hammered, VIX Tops 22 - Highest Since Dec 2012

Tyler Durden's picture




 

Well that escalated quickly... high beta momo stocks are continuing to accelerate lower this morning as BTFD'ers seem absent for now. VIX topped 22 - its highest since Dec 2012. Once again, stocks tried to decouple from bonds (twice) and failed...

 

It seems the "D" for Tesla stands for Down...

 

VIX smashed over 22 intraday...

 

And surprise... S&P plunges back to bond reality - twice...

 

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Fri, 10/10/2014 - 10:44 | 5314066 44MagnumPrepper
44MagnumPrepper's picture

Nobody has any idea what's going on anymore.

Fri, 10/10/2014 - 10:46 | 5314075 kowalli
kowalli's picture

dollar dying

Fri, 10/10/2014 - 10:54 | 5314116 Vampyroteuthis ...
Vampyroteuthis infernalis's picture

F*%k Tesla and Musk. Obammy worshiper!

Fri, 10/10/2014 - 10:56 | 5314118 max2205
max2205's picture

Still posting at pivot levels TD?

Fri, 10/10/2014 - 11:07 | 5314174 spastic_colon
spastic_colon's picture

he is possibly one of the frontrunners of the inevitable spike into the europe friday close / s

Fri, 10/10/2014 - 10:59 | 5314129 Bell's 2 hearted
Bell's 2 hearted's picture

POTD

Fri, 10/10/2014 - 11:06 | 5314168 Bloppy
Bloppy's picture

The really nutty bubble stocks are still pretty close to all-time highs. Not much damage yet.

 

Elsewhere: 'Beheading' threats hit RI schools, up to 39% of kids stay home  

Fri, 10/10/2014 - 12:53 | 5314725 KnuckleDragger-X
KnuckleDragger-X's picture

Time to rearrange the deck chairs and tell the dance band to play something upbeat.....

Fri, 10/10/2014 - 10:45 | 5314069 discopimp
discopimp's picture

Still trying to find the easiest way to play the VIX.  Any one?

Fri, 10/10/2014 - 11:03 | 5314156 playnstocks
playnstocks's picture

Long -- VXX or if your a gambler TVIX.... Use with extreme caution.

Short --  SVXY --- Not for widows and orphans!

 

Fri, 10/10/2014 - 11:07 | 5314171 HardlyZero
HardlyZero's picture

One simple..

If markets going up and VIX high then leverage long stocks.

If markets going down an VIX high then leverage short shocks (or SRTY or similar short derivative ETF).

Watch the way the markets are going (like just after a wedge).

Fri, 10/10/2014 - 10:45 | 5314072 yogibear
yogibear's picture

The bigger the swings the better. It's where traders can make big and lose big.

Fri, 10/10/2014 - 10:46 | 5314079 TheSecondLaw
TheSecondLaw's picture

 

 

Turning and turning in the widening gyre
    The falcon cannot hear the falconer;
    Things fall apart; the centre cannot hold;
    Mere anarchy is loosed upon the world...

WB Yeats

Fri, 10/10/2014 - 10:48 | 5314085 starman
starman's picture

Teslas giga factory will be in Carson city?! 

Carson city is a fkng dump! 

Fri, 10/10/2014 - 10:50 | 5314094 Spungo
Spungo's picture

I wanted to post a video of a chicken running around with no head, but I can't find any good ones.

Fri, 10/10/2014 - 10:51 | 5314100 Bell's 2 hearted
Bell's 2 hearted's picture

well, that didn't last long

 

wednesday FOMC minutes worried about dollar strength.  Sold off a bit.

 

Now?

 

DXY well above level when minutes came out.

 

King Dollar will show Hoos the Boss

 

(hint: it ain't the FR)

Fri, 10/10/2014 - 10:56 | 5314120 xcehn
xcehn's picture

Greed will trump common sense, as always; hardcore believers in the invincibility of the Fed will lose their winnings. This is the playground of sharks nervously eyeing each other and the exits.

Fri, 10/10/2014 - 10:57 | 5314124 jubber
jubber's picture

Gold surpressed all day

Fri, 10/10/2014 - 11:02 | 5314146 jubber
jubber's picture

People should be dumping this peripheral dogshit bonds, Portuguese, Spanish Italian and especially French, with Europe rolling over the dbt burden is going to get worse , so these are a minefield at all time lows...

Fri, 10/10/2014 - 11:03 | 5314150 Keltner Channel Surf
Keltner Channel Surf's picture

Well, I envy longer term trading styles on days like this, as pure daytrading w/leverage, my forte, can be trecherous as hell when markets are at key levels.  

With volatility measures (VIX, RVX) rolling over a bit after 10:30, hard to tell whether this is a pure VWAP desperation ploy (i.e., temporary), or setting the stage for a BTFD turnaround day.  Personally, I don't like the looks of it (I mean from a trading perspective), so after a nice morning Russell short, I"m done for the day.  Good luck, fellow traders, and let me know if I miss the "big one."

Fri, 10/10/2014 - 11:05 | 5314163 MWizard
MWizard's picture

 How to invest like Leonardo DiCaprio https://www.youtube.com/watch?v=tzHdp5Mvg94

Fri, 10/10/2014 - 11:05 | 5314169 Callz d Ballz
Callz d Ballz's picture

Ebola in the punch bowl.

Fri, 10/10/2014 - 11:08 | 5314178 StackShinyStuff
StackShinyStuff's picture

The "market" is having a heart attack this week.  Usually does not end well.

Fri, 10/10/2014 - 11:13 | 5314214 rqb1
rqb1's picture

Tylers already gave us the pomo schedule, the market is following that script.

Fri, 10/10/2014 - 11:52 | 5314383 franzpick
franzpick's picture

German DAX future down 2.60% may be the downside leader to watch. Check out the broken weekly:

http://www.investing.com/indices/germany-30-futures-advanced-chart

 

Fri, 10/10/2014 - 12:28 | 5314575 Buster Cherry
Buster Cherry's picture

It'll be just fine...

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