Long premium options will decay on abbreviated holiday trading schedule
Options traders are aware that in the next 12 and half days there will only be five and half days for trading, leaving six and half days for options to decay.
When the markets are not open, long premium option positions decay, and traders are unable to capture or hedge price movements.
VIX near 16-month low
The CBOE Volatility Index (VIX) is recently down 47 cents to 20.02.
Posted at 10:55 a.m.
Researcher Paul Foster has 23 years of professional experience in the capital markets, investments, trading, corporate finance, arbitrage, options, and mergers and acquisitions.
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