Stock market volatility is frequently portrayed as an evil force that all investors should strive to avoid. However, embracing volatility (ChicagoOptions:^VIX) rather than avoiding it can be extremely lucrative. On 12/17/14 we told our subscribers the following via our Weekly ETF Picks: “The VIX has been on a tear, gaining almost 40% since early December. Here’s …
Reader poll: What’s among the most depressed asset classes in the world? If you answered “volatility” you’re right on! The problem for volatility bulls (NYSEARCA:VXX) is we haven’t had a sustained level of stock market volatility. That hardly means a lack of opportunities to profit from short-term volatility exist. The opposite in fact is true. The chart …
How Long Will Stock Market Volatility Stay Subdued? Read More »
Having an entrenched view is a good recipe for failure. And perhaps, there’s no better Wall Street case study than Peter Schiff, a precious metals permabull. Never mind his incorrect calls about a U.S. dollar collapse (NYSEARCA:UUP). On Feb. 13, 2013, Schiff stubbornly reiterated his bullish view of gold, being quoted – as his public …
One week after the VIX (ChicagoOptions:^VIX) spiked to 30, Wall Street’s Kool-Aid drunks are back to saying that stock market volatility is over. It’s done. And it’s never returning. The Santa Claus rally in small cap stocks (NYSEARCA:IWM) and technology shares (NYSEARCA:XLK) smack dab in the middle of October, now has Sand Hill road (Silicon …
Psst…Volatility is Still Outperforming the S&P 500 Read More »
What’s better? A covered call options strategy executed by the individual investor or a covered call ETF or fund that proposes to do the heavy lifting? Selling covered calls is a popular investment technique used by investors with high income or cash flow as their primary goal. The investor is “covered” because they own the …