And the SKEW continues to rise. Most likely this is because of the upcoming Fed meeting. Investors are paying for OTM options, most likely lots of puts, as the Fed is likely to move the market strongly.
Today was a non-event after Friday's big rally. The NDX led and the RUT lagged.
Even after last week's pull backs on Tuesday and Thursday, the market remains overbought in terms of market breadth and price action. If there is any surprise from the Fed on Wednesday, the market will sell off.
But the Fed never surprises.
