Research

Research VIX Futures Explained: Contango, Backwardation, and Roll Yield VIX futures spend ~80% of the time in contango, generating 3-7% monthly roll yield. This guide covers how contango and backwardation work, how to… Read → Research Historical Volatility vs Implied Volatility: What Every Trader Must Know IV exceeds HV roughly 85% of the time, creating a 2-4 point volatility risk premium on SPY. This guide covers both formulas, HV lookback… Read → Research VIX1D Explained: The Intraday Volatility Index Every Day Trader Needs VIX1D measures expected 1-day SPX volatility, ranging from 8-15 in calm markets to 50+ during panic. This guide covers the VIX1D-to-range formula, overnight bias,… Read → Research ES Futures Volatility: Average Daily Range, ATR, and Trading Strategies ES futures average 40-60 points of daily range at normal VIX levels. This guide covers the VIX-to-range formula, ATR-based stops, FOMC day adjustments, MES… Read → Research Position Sizing with Volatility: ATR Formula and Practical Rules Position sizing should be driven by volatility, not fixed dollar amounts. This guide covers the ATR formula, Kelly criterion, VIX-based scaling, and inverse volatility… Read → Research Bollinger Bands and Volatility: How to Trade Squeezes and Breakouts Bollinger Bands measure volatility through standard deviation envelopes that expand and contract with market conditions. This guide covers squeeze identification, breakout trading rules, BBW… Read → Research Short Volatility Strategies: Selling Premium Systematically The volatility risk premium pays out ~85% of the time. This guide covers how to sell premium systematically with iron condors, strangles, and credit… Read → Research Volatility Crush: How to Profit from IV Drop After Earnings IV crush drops implied volatility 30-50% overnight after earnings. Stocks move less than expected 70-75% of the time. This guide covers how to profit… Read → Research UVXY Explained: Why It Always Goes Down and How to Trade It UVXY provides 1.5x daily leveraged exposure to VIX futures and decays roughly 60-75% per year from contango and leverage reset. This guide covers the… Read → Research 0DTE Options and Volatility: The Complete Day Trading Guide 0DTE options compress the full option lifecycle into a single session with extreme theta decay and peak gamma exposure. This guide covers strategies, risk… Read →