Trade Alert: Add Two New Positions Today
I have two new put-write trades to recommend today. But first, a bit about the “setup” we’re aiming to capitalize on … First, we’re positioning ourselves to take advantage of excessive fear in the markets, as evidenced by the CBOE Volatility Index (“VIX,” or “fear gauge”) being elevated. The long-term average VIX reading is around 15%. As of yesterday, it was above 30% … implying investors are expecting a level of stock volatility ahead that is twice what we typically see. Said another way, investors are twice as fearful as they usually are.
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