Volatility
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S&P 500 analysis: The VIX posted its strongest spike in history
Market reactions over the past 24 hours have been well covered. But the VIX is worthy of a closer look, given it just posted its strongest single-day rally on record.
S&P 500 Analysis: Is the Rare Streak of Low SPX Volatility Ending?
The S&P 500 has been historically quiet, and given that volatility has a tendency to be cyclical, we could see an outbreak of larger moves in the near future.
What is the VIX index? How to use the volatility index in your trades
The VIX is one of the most widely-used measures of market volatility, for both the S&P 500 and wider stock market. So, what is the VIX, how is it calculated and how can you take your first position on volatility? Find out below.
How to trade low volatility: strategies for quiet markets
We talk a lot about how volatility creates opportunities for traders. But what happens when there’s only a little market movement to take advantage of? Find out what to trade when there’s low volatility and what the best low volatility trading strategies are.
Volatility trading guide: its causes and the most volatile markets
Markets are always on the move, but the speed and size of price changes is what creates excitement (and risk) for traders. So, let’s take a look at how to trade volatility, and which markets experience the highest levels of volatility.
Whipsaw in trading
Whipsaws in trading are sudden market movements that occur in volatile conditions and can trap traders in losing positions. Find out how to avoid whipsaws.
What to do when there is carnage on the currency floor?
With volatility and headline risk remaining high, we take a look at some of the key drivers and how to approach the currency market under such conditions.
Markets are waking up to a 50bp Fed hike, FOMC mins up next
It may have taken a few weeks, but markets are finally pricing in what we argued all along; a higher terminal rate and no cuts this year.
Implied volatility screams higher ahead of tomorrow’s BOJ meeting
Overnight implied volatility for yen pairs have risen to their highest level since Brexit, on the eve of tomorrow’s highly anticipated BOJ meeting.
European Open: Buckle up, we could be in for a bumpy session
The volatile moves seen across yen pairs overnight does not bode well for risk appetite today, given traders across Europe and the US are yet to react to the BOJ.
European Open: GBP implied volatility spikes ahead of UK CPI and FOMC
Implied volatility for FX majors has risen ahead of today’s FOMC meeting - and most notably GBP as it also has UK CPI to contend with within the hour.
European Open: EUR/USD implied volatility spikes ahead of mid-term results
At the time of writing, the race to the Senate is close yet Republicans lead the race to the house during the mid-term elections.
European Open: Implied volatility rallies ahead of US inflation report
There are two tell-tale signs that an important event is looming; realised volatility has died a quiet death whilst implied volatility has sprung alive.
European Open: Implied volatility rallies ahead of US inflation report
There are two tell-tale signs that an important event is looming; realised volatility has died a quiet death whilst implied volatility has sprung alive.
What is scalping? A beginners’ guide to scalping trading strategies
Scalping is a popular short-term trading style that involves taking small, but frequent, profits. Discover what scalping is and how you can start to scalp financial markets – including forex and stocks.
Implied volatility in options trading explained
Implied volatility is a key factor when it comes to pricing options – it helps traders understand the market’s expectation of changes to underlying prices over a given period. Let’s take a look at what implied volatility is and how you can use it in your trading strategies.
The VIX (volatility index) is on the rise ahead of the Jackson Hole Symposium
A combination of rising volatility levels, market sentiment and pending events such as US inflation and Jackson Hole has seen a pickup in volatility and selloff across stock market indices.
What are defensive stocks: definition, examples and stocks to watch
Defensive stocks are a popular tool for investors looking to diversify, but are they as useful for speculative traders? Learn everything you need to know about defensive stocks and why traders still choose these low-volatility assets.
What is a reverse stock split?
A reverse stock split is the opposite of a stock split, undertaken when a public company reduces its outstanding shares by merging those it has on the market. Learn all about how reverse splits work here – including how they affect your shares positions.
Stock market volatility: how to calculate the beta of a stock
Stock market volatility is measured using a measurement known as beta. It’s a useful metric for both traders and investors looking to make decisions about the risk and reward of a company’s shares. Find out what a stock’s beta is and how to calculate beta.
A guide to volatility trading, its causes and the most volatile markets
Markets are always on the move, but the speed and size of price changes is what creates excitement (and risk) for traders. So, let’s take a look at how to trade volatility, and which markets experience the highest levels of volatility.
Index in Focus: S&P 500
The S&P 500 has been extremely volatile over the last few weeks, primarily due to rising interest rates and the Russian/Ukraine war.
Short squeezes: why do they happen and how do they work?
A short squeeze is a phenomenon in financial markets when prices rise sharply, forcing short sellers to close their trades. Take a look at what defines a short squeeze, the causes of the dramatic price move and how you can find the next short squeeze.