E-Mini S&P500 Futures Volatility Forecast (22/11/2010)

The E-Mini S&P500 is on the ragged edge. The recent drops the market experienced are just the tip of the iceberg and we believe that in the long run the price might continue to head south.

The TGARCH volatility is 1.2% (19% annualised) and it is still pretty low if we consider that the average volatility percentage for this market is 21%. The recent news about global economy’s health could easily scare away investors from equity markets and the index would be inevitably driven down towards the 1000 area.

The staff of HyperVolatility advises you not to enter any long positions at the moment and wait for placing shorts. The E-Mini S&P500 might still move sideways before heading south;nevertheless, caution is needed because unexpected news and Fed intervention could again change the rules of the game

Leave a Reply

Your email address will not be published. Required fields are marked *

Go back to top