Market Measures

Volatility Dynamics

| Jun 3, 2024
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    Market Measures

    Volatility Dynamics

    Jun 3, 2024

    Market analysis reveals heightened volatility in stocks like GME, AMC and Nvidia. Mike Butler and Nick Battista's discussion centers on volatility trends, particularly VIX dynamics, highlighting historical peaks in 2008 and 2020. Present VIX readings are low, around 13, in a contango state, implying future volatility increase. A key focus includes leveraging strategies in low volatility environments and understanding volatility clustering for trade opportunities. Historical data reinforces higher IV’s impact on trade success, emphasizing timing challenges in VIX trading.

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