Volatility

Volatility is headed lower today again on expectations that earnings are going to be better then expected. With volatility continuing its course lower I made the decision to take off my calendar spread on the $RUT up +9.7%. Not bad for about a week and a half. So if volatility is going to continue lower I would like to get short some vega. Today I set some ITM debit spreads and OTM credit spreads, which are short vega. But I really want to get some exposure to the down trending volatility, and this brings me to a trade idea.

I also purchased 195 calls on Apple (AAPL) before the market closed today, and it seems like it will pay off tomorrow.