CBOE Volatility Index (.VIX) drifts down .24 to 27.60 and is now off nearly 20 percent since 11/25. Noteworthy trades on the market’s “fear gauge” Tuesday morning is a Dec 35 – Feb 55 call spread sold at 15 cents, 55000X. Feb 55 calls were bought and the action might roll a position in Dec 35 calls, as open interest in the contract is 229,455 — currently the biggest position in the volatility index — and the contract expires in 14 days (Wednesday after the standard expiration). If so, the strategist is buying two more months for the trade to play out and rolling the position up 20 strikes. VIX hit its best levels of the year on 8/8 when the index rallied to 48.