Huge Volatility Drop at 11:02 AM?

Discussion in 'Trading' started by cloudeleven, Sep 3, 2008.

  1. I'm looking at the VXO chart (volatility index similar to VIX except it tracks the S&P 100 options instead of S&P 500 options), and there was a huge volatility drop to 13.45 at 11:02 AM. This drop only lasted a few minutes, then it spiked back up to the 23.6 level. What could have caused this? (Click link for chart)^VXO#symbol=^VXO;range=1d
  2. Clearly a bad tick.