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Use of Volatility Indexes (e.g., VIX, VZZ) in Trades


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Posted

Kim,

Can you please explain how you use the various volatility indexes in making your trading decisions. And why you might use one volatility index instead of another. I've noticed you refer at times to these volatility index levels when deciding whether to enter or exit a trade. What are you looking for generically with these indexes? Are you looking for absolute index values or relative percentage index values? Or perhaps momentum?

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