How to Profit from Trading Volatility Index ETFs

           The VIX has become tradable with hedging capability, and its adverse relationship with the general market, especially the S&P 500 index. 

The VIX has gained exploding popularity as a technical indicator since it was introduced!  Investors have been provided with the trading opportunity to profit on VIX fluctuation too.  Several Bull or Bear ETFs traded on VIX are shown in the following table.  The higher the level of volatility the VIX demonstrates, the more attractive it is to the momentum traders. 

Symbol	Name
CVOL	C-Tracks Citi Volatility Index Total Return ETF
TVIX	VelocityShares Daily 2x Leveraged VIX ST ETN
TVIZ	VelocityShares Daily 2x VIX Mid-term ETN
VIIX	VelocityShares Long VIX Short-term ETN
VIIZ	VelocityShares Long VIX Mid-term ETN
UVXY	Proshares Ultra VIX Short-Term Future ETF
VXX	iPath S&P 500 VIX Short-Term Futures ETF
VXZ	iPath S&P 500 VIX Mid-Term Futures ETF
VZZ	iPath Long Enhan S&P 500 VIX Mid Term Futures ETN
XIV	VelocityShares Daily Inverse VIX Short Term ETN
XVIX	UBS E-TRACS Daily Long-Short VIX ETN
XXV	iPath Inverse S&P 500 Vix S/T Futures ETN
ZIV	VelocityShares Daily Inverse Mid-term VIX

Figure 4.4: ETFs tracking VIX

Source from: http://volatilityetf.net/

         

             If you want to know more about Volatility Index (VIX), you can read the following article:

 

          http://top5indicators.blogspot.com/2013/09/how-to-interpret-volatility-index.html

 

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          Have a great day!