Question about VIX

Discussion in 'Trading' started by Sky123987, Mar 30, 2008.

  1. Then i suppose you wouldnt mind posting a simple example of how you would use an ATR value to gain edge. No need to post your secret formula, just give me 1 simple trade example.
     
    #11     Mar 30, 2008
  2. Old VIX from 5 years ago and earlier was computed in a different way from the one you have now.

    The new one is supposed to be less noisy - until last year. :)

    Maybe they will change the formula again!
     
    #12     Mar 30, 2008
  3. DennisR

    DennisR


    trash last post. didn't realize you were looking for atr. sry
     
    #13     Mar 30, 2008
  4. I mentioned something along this line in the ES Journal.

    No exact formula because you have to adapt it to your own usage and risk tolerence.

    In short, for some particular trading setups, you need to use intraday ATR to mesasure the risk/reward ratio. That becomes a yard stick for many useful purpose.
     
    #14     Mar 30, 2008