DaytradeTeam Brainzzzz

The VIX is an index created to track market volatility as an independent entity. The Market Volatility Index is calculated based on option activity such as the volume levels of put options and call options and is used as an indicator of investor sentiment. High values for the VIX index suggest that investors have substantial doubt, fear and worry about the future of the market. Low values for the VIX suggest that investors are very secure with the future of the market and see little risk. The VIX is often used as a contrarian indicator. Our Options Trading Systems will often look at VIX to determine which types of spreads might be most suitable.