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ProfitHarvest
Jan 20, 2021 8:35 PM

[VOLATILITY vs VIX] This doesn't look good for markets... Long

Volatility IndexKRX

Description

Look at that beautiful divergence!

Comment

Leading fckin indicator guys...

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It's diverging again, gonna be another spike higher.

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VOLATILITY up and VIX down directional divergence for a week now, still large position divergence here but not as drastic as previously.

These two lovers are always chasing and running from eachother with brief periods of reunion.

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Still predicting more volatility, keep an eye.
Comments
Spotshooter1983
The usual question applies..

This looks interesting so

how do I get paid?
ProfitHarvest
@Spotshooter1983, UVXY if you’re ballsy but any volatility tied investment
Spotshooter1983
@ProfitHarvest,
As you know I sold the $9 strike puts for $1.65 on the last drop - now 57 days and counting. $1.55 today to close out. Now theta starts working in my favor. I put the cash in GGN and trade it. when the Iranian General was killed I won twice. Ghoulish but true. UVXY spiked. GGN spiked based on the idea that it is gold/silver miners and oil related stocks were good. Iran = oil shock. Many ways to leverage volatility. Pick your poison and then perhaps its time to look at the movie "Princess Bride" again. I put poison in both of these cups - and protect myself by gradually getting used to the poison.

Good chart. Take care

All the best
Yuriy_Bishko
These are challenging times for the markets.
Prasad_Ari
@ProfitHarvest, I am wondering What's the divergence means to the markets?? Bullish or Bearish??
Prasad_Ari
It's creative to compare the VIX and Volatility!
MavAce
Good find! Looks like similar divergence (but to a lesser degree) happened in the 2nd half of August.
jackbauer2424
@ProfitHarvest Can you please explain to me what this index is for and how it compared to the VIX?
ProfitHarvest
@jackbauer2424, Correlations...
jscottw
@ProfitHarvest, I'm also not sure of the significance. Could you please elaborate? It would be greatly appreciated. :)
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