As I was doing my market analysis over the weekend, I stumbled onto a long term "trend" statistic that shocked me. We've not seen this kind of reading since the 2008 market crash. I'd like to share this with you, as well as an invitation to a training I'll be having this upcoming Thursday. Register
It's official. Volatility is dead. Markets are grinding higher, and the VIX can barely stay above 10. Extreme complacency, right? If nobody is buying protection then it clearly means that the collective market zeitgeist expect the market to go higher. You've also got a TON of traders loaded to the gills with short volatility products.
Inhale. Exhale. Expand. Compress. There's a natural movement in the markets... not just about stocks going higher and lower. You also have the volatility of the stock. We see volatility expand, then compress. And into those compressions are where you can see some really nice moves. Because the longer a stock has been stuck in
2017 has been "The Year Of The Grind." Slow, plodding moves higher with very low volatility and short-lived pullbacks. This is one of those times where you'd think selling volatility is a layup trade... until you realize that the volatility has basically been in one direction-- up. And that can be a killer for iron