Trading Volatility by Russell Rhoads, CFA
ARTICLE SYNOPSIS ...Taking A Position On A Measure Of Fear, Trading Volatility by Russell Rhoads, CFA
The Cboe Volatility Index has been used as a measure of fear in the market, but there's more to it than that. Find out how you can use the Vix to take a position when you have an opinion about the direction of volatility in the equity market.
Throughout the stock market goofiness in the second half of 2008, we were constantly told there was panic and the high level of the Cboe Volatility Index (Vix) was cited. If you were even just a passive viewer of Cnbc or any business program, you got the impression that th...