- VVIX
The VVIX is a volatility of volatility measure in that it represents the expected volatility of the 30-day forward price of the CBOE Volatility Index (the VIX®). It is this expected volatility that drives the price of VIX nearby options.
The chart above shows that whenever VVIX goes above 100 its a good time to short volatility products or go long Inverse volatility products.
The best products to be shorted are VXX, UVXY or TVIX.
The best products to go long are SVXY and XIV.
- UVXY
As you can see from the above chart being short UVXY is a good trade.
90% of my trading is based on it. Its the easiest way of making money. However need to have sufficient cash as back up if you want to play these products.
This is not a trading recommendation. Just an educational exercise.
The charts were generated using Yahoo Finance.