tag:blogger.com,1999:blog-897456774486153841.post5644421125466676612..comments2024-03-28T06:07:36.391-07:00Comments on VIX and More: VXX Data Now Painting an Accurate PictureBill Lubyhttp://www.blogger.com/profile/01241003017364820134noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-897456774486153841.post-25274644020871170512009-03-05T09:50:00.000-08:002009-03-05T09:50:00.000-08:00Anon,Yes I would see something like a VIX:VXX rati...Anon,<BR/><BR/>Yes I would see something like a VIX:VXX ratio to be analogous to a VIX:VXV ratio -- and a good method for determining how stretched the VIX is.<BR/><BR/>Leo,<BR/><BR/>Regarding VXZ volume, a couple of reasons. First, if you are looking to hedge and you want maximum 'juice' then the cash/spot VIX or front month futures (or VXX) will give you the biggest bang for the buck.<BR/><BR/>The farther out in time you go, the less responsive the VIX instrument will be to a spike in volatility. For this reason, VXZ, which moves at less than 40% of the rate that VXX does, has minimal hedging value.<BR/><BR/>-BillBill Lubyhttps://www.blogger.com/profile/01241003017364820134noreply@blogger.comtag:blogger.com,1999:blog-897456774486153841.post-80464333880063076402009-03-05T08:46:00.000-08:002009-03-05T08:46:00.000-08:00Hi Bill,Why do you think VXZ volume is so thin and...Hi Bill,<BR/><BR/>Why do you think VXZ volume is so thin and even getting thinner?leo00o83https://www.blogger.com/profile/12318003647963624767noreply@blogger.comtag:blogger.com,1999:blog-897456774486153841.post-23329975314720145652009-03-04T15:26:00.000-08:002009-03-04T15:26:00.000-08:00BillWill you look at the relationship between a VI...Bill<BR/><BR/>Will you look at the relationship between a VIX move and a VXX move as an indication of how 'stretched' the VIX is?...if you see what I mean?Anonymousnoreply@blogger.com