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WTF Chart Of The Day: VIX "Noise" Edition

Tyler Durden's picture




 

Yesterday - amid multiple options-based exchange "breakages", the VIX feed across various platforms appeared massively noisy. We assumed it would be cleaned up and brushed under the carpet in the new normal. Today, it is just as bad...it appears the plunge in stocks has been a catalyst for amplification of VIX pricing noise... so far no desks (or CBOE) have a reason for this.

 

Yesterday's various options-exchange breakages...

And VIX "noise" exploded...

Note the "before" and "after" as stocks began to collapse and the VIX noise got amplified.

Click image for massive version

 

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Tue, 12/16/2014 - 11:31 | 5558374 SoilMyselfRotten
SoilMyselfRotten's picture

Got most of that gold noise quieted down, nice job PPT

Tue, 12/16/2014 - 11:55 | 5558458 fuu
fuu's picture

Silver off $1 from the high today, gold off $30. Fuckers.

Tue, 12/16/2014 - 11:59 | 5558470 Serfs Up
Serfs Up's picture

Fk Janet, and her whole fkn tribe.

All of them have overstayed their welcome, and abused our good trust.

But Janet...perhaps she can tell me at the end of this miserable day of ""market"" manipulation that if I don't like it how I should really have been born to a better family, or spend more on my kids, or perhaps not suck so bad at being an entrepreneur.

/My Time.  It is coming.

 

 

Tue, 12/16/2014 - 12:34 | 5558629 lasvegaspersona
lasvegaspersona's picture

fuu

Which is a good thing if you are long metal and short paper....as some of us see as the way to be.

Tue, 12/16/2014 - 12:37 | 5558650 fuu
fuu's picture

Yes it is a good thing, they are still fuckers for it though.

Tue, 12/16/2014 - 11:33 | 5558379 Stoploss
Stoploss's picture

Manipulation.

Does that fit?

Tue, 12/16/2014 - 11:41 | 5558416 DeadFred
DeadFred's picture

I watched it yesterday and scratched my head. I assumed it was a glitch because each uptick was about the same height. Go figure.

Tue, 12/16/2014 - 11:42 | 5558422 AmericasCicero
AmericasCicero's picture

VIX-QUAKE!!!

Tue, 12/16/2014 - 11:49 | 5558433 DeadFred
DeadFred's picture

For what it's worth it's continuing today

Tue, 12/16/2014 - 12:06 | 5558506 aVileRat
aVileRat's picture

Nah, nanex and ZH just gets to watch what happens when a new hunter-killer algo is put into the VIX.

It looks like someone left a liquidity algo without a proper stop-loss collar, and its being taken to the cleaners. A few DMA slams should put that thing offline for a few hours. That's just pure speculation of course.

 

Tue, 12/16/2014 - 14:54 | 5559372 StupidEarthlings
StupidEarthlings's picture

"we went ahead and...Fixed the glitch"

 

Great Movie

Tue, 12/16/2014 - 11:51 | 5558441 LeisureSmith
LeisureSmith's picture

Someone just pulled the carpet from under the shiny stuff.

Tue, 12/16/2014 - 13:03 | 5558798 StackShinyStuff
StackShinyStuff's picture

I resent that!

Tue, 12/16/2014 - 12:03 | 5558486 Xanthias
Xanthias's picture

As of 11 AM:

NYSE new highs: 10

new lows: 426

What manipulation?

Tue, 12/16/2014 - 11:34 | 5558386 blaireauhedge
blaireauhedge's picture

Not to worry. The DOW is a solid green now. It's the only thing that matters.

Tue, 12/16/2014 - 11:33 | 5558388 NoDebt
NoDebt's picture

I had a set of speakers that sounded like that after playing them full-blast for hours at a party the night before.

Tue, 12/16/2014 - 13:30 | 5558927 KnuckleDragger-X
KnuckleDragger-X's picture

Only dogs can hear it.....

Tue, 12/16/2014 - 11:36 | 5558394 BellevueTrader
BellevueTrader's picture

Thank you ZH for bringing this up! I kept watching this wondering why nobody was saying anything...somebody is Yellen!!! FIRE!!

Tue, 12/16/2014 - 11:38 | 5558398 Dr. Engali
Dr. Engali's picture

Somebody s fighting the fed and losing........ for now. 

Tue, 12/16/2014 - 12:03 | 5558493 101 years and c...
101 years and counting's picture

can K-Hen sell naked vix calls all day.  every day?  to suppress vix and send stocks higher?  i doubt it.  

Tue, 12/16/2014 - 12:11 | 5558518 Dr. Engali
Dr. Engali's picture

Why not? He has a never ending supply of digital fiat. It costs the fed nothing when they print their FRNs out of thin air.

Tue, 12/16/2014 - 11:36 | 5558400 economists_do_i...
economists_do_it_with_models's picture

TLT up.  GLD up.  VXX up.  Bloodbath in USDJPY.  S&P = green.  *rolls eyes

Tue, 12/16/2014 - 11:39 | 5558407 youngman
youngman's picture

They shut down the gold and silver markets...back to losses now....no longer a safe haven...except for the rest of the world...

Tue, 12/16/2014 - 11:40 | 5558413 HungryPorkChop
HungryPorkChop's picture

Algo's gone wild trying to create a smooth Sine Wave.  This is beyond manipulation and shows the process will be controlled.

It's starting to feel a lot like Christmas.

Tue, 12/16/2014 - 11:54 | 5558417 John McCloy
John McCloy's picture

    I think all of us here knew that the Fed was gonna come out guns blazing buying up Minis after a small drop in the markets and Putin spitting directly in their eyes after pulling a Volcker. The game never changes...they wanted to play with fire and manipulate oil down in an effort to hurt him for his "Petulance" for the past few months and as predicted it is blowing up in their faces as they always manage to do by papering over problems because now global stock markets are getting pounded and credit risk is going Lehman....

     All they know how to do since they cannot solve any problem with reason and responsibilty is print and manipulate and more of the same. Putin just needs to back his currency in metals and end it...maybe start with offering a discount in oil if traded for gold.

Tue, 12/16/2014 - 11:54 | 5558454 Bay of Pigs
Bay of Pigs's picture

Well said. Nice to see you posting again John.

Tue, 12/16/2014 - 12:48 | 5558715 richiebaby
richiebaby's picture

Maybe Putin's silver bullet?

Tue, 12/16/2014 - 11:41 | 5558419 Yen Cross
Yen Cross's picture

  I guess the circus (markets) are expecting a dovish Fed. after the shitty macro this morning. Bad news is good news again.

  With all this rate hike front running it will be fun to see how $usd deals with a dovish statement. Time to stock up on some popcorn and scotch.

Tue, 12/16/2014 - 11:44 | 5558425 That_shits_broken
That_shits_broken's picture

Get to work Mr. Bullard!

Tue, 12/16/2014 - 11:46 | 5558428 gmak
gmak's picture

What does it mean? 

Tue, 12/16/2014 - 11:59 | 5558469 HardlyZero
HardlyZero's picture

The New Noise

Tue, 12/16/2014 - 11:50 | 5558440 Bastiat
Bastiat's picture

Silver getting slaughtered again.  Down 4% on to of yesterday's 5%. 

Tue, 12/16/2014 - 11:58 | 5558471 fuu
fuu's picture

It is very exciting. Soon it will be just $5 an ounce matching production costs.

Tue, 12/16/2014 - 11:52 | 5558444 Squid Viscous
Squid Viscous's picture

like an off balance washing machine in spin cycle, right before it croaks

Tue, 12/16/2014 - 11:54 | 5558446 SickDollar
SickDollar's picture

that part of the Graph is  called MANIPULATION

Tue, 12/16/2014 - 11:54 | 5558455 oklaboy
oklaboy's picture

shake shake shake your puddin........

Tue, 12/16/2014 - 11:54 | 5558456 Panic Mode
Panic Mode's picture

So bullish, it hurts.

Tue, 12/16/2014 - 11:56 | 5558461 breadonwaters
breadonwaters's picture

Damn!  Reminds me of a piece of equipment that is shaking itself to pieces!  But then again, let us remember :  There are no markets, only interventions....so perhaps a better analogy is the Magicians Apprentice...The cabal has intervened so many times, so many ways, and now its getting totally out of their supposed control.

Keep on stackin.

Tue, 12/16/2014 - 12:03 | 5558482 madbraz
madbraz's picture

i think it's safe to say, unequivocally, that the NY FED intervened in equity markets at 10:15, 10:45 and 10:50.  

 

the ultimate (corrupt) knife catcher.  the dudley believes he has to keep the turd positive for all FMOC meetings, regardless of what is going on in the real world.  it must be good to have 200+ traders with unilimited access to fantasy money at a push of a button.  what a turd.

Tue, 12/16/2014 - 12:34 | 5558640 kurzdump
kurzdump's picture

A market fueled by fantasy money is a fantasy market causing a fantasy economy.

Good luck to the manipulators with keeping the fantasy trustworthy. Complexity will break their spines eventually.

Tue, 12/16/2014 - 12:52 | 5558736 TheRideNeverEnds
TheRideNeverEnds's picture

It actually tradeed in that range, I was filled on sales close the the highs at the end of the day yesterday.  All day I was seeing VIX down big to up big and was thinking something was up then I realized late in the day by looking at my VIX position that it was expiring the next day (today).   So that combined with the fact this market was crazy oversold for the new normal world where central banks buy all securities and sell comodities our ratio of one down day for every ten up days was getting stretched so I sold out my long VIX calls close to the high tick not wanting to risk the expiration mark.     

 

The VIX is a strange and unique instrument, this behavior is pretty normal for it.  

Tue, 12/16/2014 - 13:05 | 5558813 rqb1
rqb1's picture

I was watching all day, moves from 21 to 25 in a second, held half of my calls though.  Was wondering if I should put in an order on the highs to see if filled, glad you were able.  Congrats.

Tue, 12/16/2014 - 13:43 | 5559007 chistletoe
chistletoe's picture

I love bear-market rallies.  I wonder why nobody else was prepared for this one?

Tue, 12/16/2014 - 15:47 | 5559612 SwissNico
SwissNico's picture

The alleged algo behind it has cute name... the hedgehog algo

Wed, 12/17/2014 - 04:48 | 5562025 mantrid
mantrid's picture

it's volatility of volatility, most recent achievement of central banking voodoo practitioners

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