Volatility

Buy VIX Calls for Cheap Protection

The combination of a depressed VIX and steady stock market gains means that volatility is cheap. Now's the time to buy VIX calls to protect yourself. More 

Will 2014 Bring Higher Volatility?

For all the taper tantrum and government shutdown drama, market volatility took a chill pill in 2013. But that's unlikely to continue in 2014. More 

Trade SPX Options Amid an Overblown VIX

VIX jumps re-inflate depressed option premiums, increasing the potential profits for all sorts of option-selling strategies. Consider these SPX options. More 

VXX – Profit on Puts as Volatility Heads Lower

A deluge of holidays during the next six-week stretch is why forward-looking volatility measures like the VIX have succumbed to gravity. Consider this VXX trade. More 

VXX Calendar Spread: Embrace Time, Exploit Volatility

Calendar spreads like this trade idea on the VXX allow you to profit from the day-by-day decay in option values and provide a partial directional hedge. More 

Watch Out for September’s Second Half!

The final two weeks of September tend to see rocky waters for the broader markets. Set up a hedge using these two funds. More 

Beware of a Plunging VIX in the Summer

Historically, a low VIX in the summer has been a sign of trouble ahead for the stock market. Don't go after VIX-leveraging ETFs ... just get conservative. More