Good news. The CBOE just launched a new 1-year Volatility Index VIX1Y. This is significant and I’ll explain why in a minute. First, to make sure you know what the CBOE now offers and what it means, I’ll walk you through their five major Volatility Indexes. 1. VXST – 9-day Implied Volatility. Within VXST are two lesser… [Read More]
Understanding The 3 Types of Volatility
With recent market activity reminding traders that prices can go down as well as up, we’re suddenly starting to hear more about volatility again. Today we’ll discuss the different types of volatility related to stocks and ETFs. The first type of volatility is Historical Volatility, or HV, which may also be referred to as Realized… [Read More]
High Probability Trading: The VIX Does Not Work Except When it Does
Some good news and some bad news have surrounded the VIX as of late. Here’s our research on why the VIX, like many, many technical tools including the Relative Strength Index, works just fine when used properly.
Trading the VIX: Short Term Strategies for High Probability Traders
Many people talk about the VIX. But few know the proper way to use the VIX in their trading. Here’s some sound research on what the VIX truly measures, and how best to interpret it as a short term trader.
Riding the VIX
In John Nyaradi’s view, the best use of the VIX is to view it in concert with other indicators to confirm a suspected trend or change in direction. Here’s how he uses the VIX to stay on the right side of the markets.
