options mentoring

Think It's Time to Go Long?

The answer is no.  The table below shows 6 things:

1.  Points gains in the SPX has done since July 2002

2.  Points gained in the SPX has done, when in cash when VIX is 5 points over VXV

3.  Points gained in  the SPX has done when in cash when VIX is 5 points over VXV OR VIX is over 40 points.

The second set shows the above, only stopping at the end of 2012.  I did this to take the latest bull market out of the equation (notably 2013) as we have gone through one of the longest straight up markets in history.

Blog Image: 

Our Founder on Bloomberg Talking $VIX and $VIX Futures