Hey there traders,
One thing I always say is that implied volatility is relative.
What might seem like ‘low volatility’ could be extremely high if the underlying won’t move.
On the flip side, if the underlying is running around like mad, historically high implied volatility might be too cheap.
Looking at the major ETFs, there is one ETF that has low volatility…
Even as it has high implied volatility historically.
While QQQ IV is still over 30, the underlying is moving around so much it might not matter.
Thus, if I think the QQQ is going to make a move, I would be buying options, I would not be selling premium in the QQQ…
The VIX light is Yellow: It could go either way, but it will move.
Your Only Option
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