Markets traded down again today, but this time on higher trading volume. SPX closed at $1795, down $6 while RUT closed at $1124, down $5. As one might expect, volatility is rising with the VIX closing up about a third of a point today at 14.6%. VIX broke 15% intraday. Russell's price action was particularly negative with a gap open downward this morning. Trading in the S&P 500 stocks increased to 2.2 billion shares, above the 50 dma at 2.1B. We haven't seen many S&P 500 volume numbers above the 50 dma recently. Trading on the NYSE increased 10% and trading volume on NASDAQ increased 8%. A gap open toward the downside plus higher volume combine for a significant bearish signal. However, we have seen this market reverse several times this year as the bulls suddenly took over control and pushed higher.

Economic data was sparse today. Some market analysts speculate the market weakness is due to concerns about the Fed tapering stimulus sooner rather than later. But if the markets had surged higher, I am sure they had the answer in the other coat pocket.

My Dec iron condor on RUT stands at a net P/L of +$1,680 or +12% with position delta = -$141 and position theta = +$141 on 20 contracts.