Dow Takes Out 26K to Hit New High; VIX Spikes

The 'fear gauge' is eyeing its highest close in over a month

Jan 16, 2018 at 12:03 PM
facebook twitter linkedin

The Dow Jones Industrial Average (DJI) burst through the 26,000 level for the first time ever earlier to trade at fresh record highs -- and if the index closes above this mark tonight, it will be the fastest jump between 1,000-point milestones in history. The Nasdaq Composite (IXIC) and S&P 500 Index (SPX) have hit record highs, as well, thanks to a strong start to fourth-quarter earnings season and round of positive analyst attention. Healthcare and tech stocks are leading the way, with names like Amazon (AMZN) and Nvidia (NVDA) soaring to all-time peaks. Interestingly, the CBOE Volatility Index (VIX) is also rallying, on pace for its highest close since Dec. 5.

Continue reading for more on today's market, including:

  • SPY hedgers should go big or go home, according to our founder and CEO Bernie Schaeffer.
  • Analyst: These 2 hot steel stocks have even more upside potential. 
  • Plus, put traders pile on GameStop; M&A buzz lights up Energizer stock; and a gene therapy stock slides.

midday us stock market stats jan 16

Among the stocks with unusual options volume is video game retailer GameStop Corp. (NYSE:GME), as traders bet on more downside following last week's profit warning. Put volume is already well above the average daily volume, thanks to heavy action at the April 19 strike. Data suggests traders are buying to open positions here, meaning they're expecting GME shares to fall further below $19 in the coming months. The equity was last seen trading flat at $17.76, after Wedbush cut its price target to $22.50 from $25.

One of the best stocks on the New York Stock Exchange is battery specialist Energizer Holdings Inc (NYSE:ENR), with the shares last seen 14.5% higher at $59.12, earlier touching a record high of $62.86. This comes after the company announced it's buying Spectrum Brands' (SPB) battery business for $2 billion in cash. ENR stock has rallied closed to 28% in the past three months alone.

enr stock price

Over on the Nasdaq, gene therapy stock AveXis Inc (NASDAQ:AVXS) is selling off, last seen down 7.9% at $108.19, after the company announced a public stock offering for up to $400 million. This should be put into perspective, though, since AVXS stock is just one session removed from a record high of $119, and still sports a 12-month rise of 106%.


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 



Special Offers from Schaeffer's Trading Partners