This will be my last post on the VIXEN.
After 2 weeks of setup posts, I think the concept should be clear.
What's different about today's post is the use of VXN in lieu of the VIX.
VXN is the Nasdaq 100 volatility line and it's use was talked about in the Market Rewind chat room yesterday. So what I did was run a real time duplicate of the VIX/Qs screen using VXN/Qs. Perhaps surprisingly, using the VXN produced a little smoother indication of the volatility reversals than the VIX. At the same time, (not unexpectedly, the VIX produced smoother reversals with the IWM, XLE and XLF.
So the lesson to be learned is that there is a difference and, depending on what you're tracking, the VXN may be he preferred pairs choice.
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