How to use it in a trading method? I have not yet.......... I am just thinking about how to view it in terms of short term trading etc'
You have to decide upfront whether the VIX is a leading or lagging indicator to the underlying market. Even then, it can be in its own little world. :eek:
Ok, thanks for input that is not some kind of slam or insanity. I agree, it just another trading vehicle.
It works well within the context of Intermarket Analysis- market relationships- Ive done a lot of charting-its a decent indicator- it helps in confirmation or reinforcing my opinion. The number itself doesn't mean much to me - I'm more of what some call "discretionary". The old saying "low , time to go and high time to buy seems true enough though.