stock market volatility

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    If you follow the stock market, you know what the VIX is. It's the volatility index. But here's something you may not know: the VIX is about to face some competition - and with good reason.

    Today, I want to take a closer look at what volatility is, show you exactly what the VIX does (and doesn't do), and tell you why now's the perfect time for a new, more modern approach to how we track volatility.

    Let's get to it...

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How This New "Fear Gauge" Could Fix the VIX

If you follow the stock market, you know what the VIX is. It's the volatility index. But here's something you may not know: the VIX is about to face some competition - and with good reason.

Today, I want to take a closer look at what volatility is, show you exactly what the VIX does (and doesn't do), and tell you why now's the perfect time for a new, more modern approach to how we track volatility.

Let's get to it...

Why 2016 Will Be So Volatile

market volatility

Predicting market performance in any given year is a lot like predicting heavyweight fights; you assess each fighter's history, weigh it against their opponent, read the "tale of the tape," and put your money down on the line.

For 2016, my market prediction is the same as Mr. T's Clubber Lang from "Rocky III": Pain!

Asset classes and markets all over the world will get a heaping helping of extreme volatility.

Here's why 2016 will be so volatile, and what to do.

What Does Stock Market Volatility Mean for Investors?

what does stock market volatility mean

U.S. markets this week have painted the perfect picture of volatility. But exactly what does stock market volatility mean for investors?

Put simply, volatility is the amount of uncertainty about the size of changes in the stock market.

Let's take a look at the $2.1 trillion sell-off this week as a case study to illustrate how stock market volatility actually works...

How We're Protecting Against Volatility Now

shah gilani

At the end of 2014, we predicted that the coming year would be defined by extreme market chaos. Shah actually called it "the perfect storm of volatility" in his first investor briefing of the year.

Now that volatility is here with a vengeance.

On Monday, the Dow Jones Industrial Average alone dived more than 1,000 points, then surged 900 points... only to drop more than 400 points again. That's a story that repeated itself on indexes worldwide.

The Chicago Board Options Exchange Volatility Index (VIX) surged to a six-year high of 53.29 until volatility swamped the quoting system.

The market's volatility is here, after months of gearing up for chaos. But we're not sweating it - we're making money.

How We'll Profit as Volatility Shakes Out the "Weak Money"

stock market volatility

After seven down days in a row, the markets roared back Monday and appeared to erase last week's sharp declines.

Now, Monday's action looked impressive by any measure... but the "green" chart I'm about to show you told me that we were looking at something other than the start of a sustainable rally.

And just as I thought, the markets headed lower again yesterday.

I'm not worried, though - and you shouldn't be either. Volatility like we're seeing now means we're looking at much bigger potential gains...

How to Profit from Market Volatility - March 2015

market volatility

Market volatility has been rampant. Last week, the Dow Jones Industrial Average saw triple-digit gains or losses on four out of five trading days.

Volatility will continue in coming months as investors grapple with economic data and try to gauge when the U.S. Federal Reserve will raise interest rates.

These five tools will help you survive and even profit from market volatility - and they'll help make you wealthy...

Why Market Volatility Is the New Normal

market volatility

Market volatility is back with a vengeance. The triple-digit moves in the Dow Jones Industrial Average we're seeing almost daily are telling us that markets are very nervous.

Investors are jumping out because they don't want to get caught in a correction, and they're jumping back in because they don't want to miss the next leg up. However, things aren't exactly what they seem to be.

Here’s the truth about the new volatility…

How to Profit from Market Volatility - May 2014

During my 30 years as an investor, I've developed five tools that demonstrate how to profit from market volatility. And today I want to share them with you.

With the Nasdaq Composite Index - and tech stocks in general - going through a turbulent stretch of their own, these five rules will help keep you from making mistakes.

You literally can't afford not to read this...

Stock Market Today: Expect "Insane" Trading as Second Quarter Ends

The stock market today fell more than 50 points in the first 10 minutes of trading, with the Dow dipping below 15,000.

June has been a volatile month for U.S. equities with the Dow experiencing 15 triple-digit moves out of 18 sessions.

As we start the final trading day of the month, which is also the last of the second quarter, expect heavy volume and wild swings.

As Business Insider pointed out yesterday, in the last five seconds of the trading day at the end of the month, or quarter, traders brace for what can best be described as intensely insane trading.

The following chart, with blue diamonds representing the end of the month and red ones representing the end of a quarter, shows the dramatic increase in E-mini trades (S&P futures contracts) that transpire at the close of trading at the end of the month, or quarter, compared to E-mini trades at the close of a regular trading session.

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The New Abnormal: Permanently Engineered Market Volatility

If the gut-wrenching market volatility of the past few weeks has made you sick to your stomach , I have some bad news for you: violent volatility is the new normal - or more precisely, the new ab-normal.

After massive market moves last week, the Dow Jones Industrial Average tumbled 419.63 points yesterday (Thursday). And, while t hat may be bad news for average investors, it's something Wall Street wants.

If you're not a day-trader, high-frequency trader, hedge-fund manager, or institutional desk trader, reading this is going to make you mad as hell. But it's something you have to know, understand, and accept if you're going to be a successful investor going forward.

The reality is that in their crusade to manufacture extraordinary personal wealth, Wall Street insiders have engineered volatility into the capital markets.

This change is permanent.

Indeed, the same dangerous volatility that destabilizes markets creates innumerable trading opportunities for Wall Street's proprietary traders. These traders feed off each other and off their banking-industry clients.

The game is simple: Wall Street creates market volatility, some of which leads to panic. Panicked investors, in desperate searches for safety, turn to "experts" for protection. And Wall Street rakes in the profits - not just from their market-crushing trades, but from the investment fees they charge individual investors, companies and nations.

It's similar to how the mafia might trash your business and then offer to "sell" you their protection services.

By increasing volatility in stock, bond, commodity and real estate markets, The Street has created a self-perpetuating moneymaking machine.

Obviously, without the manufactured volatility, markets would be more stable, predictable and better serve economic development and growth. But there are no extraordinary gains to be made in calm and stable markets.

So Wall Street for decades has worked to make market volatility the norm.

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Are You Worried About Your Retirement Savings?

Retirement used to be synonymous with leisure and travel. Americans believed that decades of hard work and thriftiness would make for a prosperous and successful life they could enjoy after their jobs - the "American Dream."

Now retirement doesn't evoke the same sense of tranquility for most U.S. workers. Instead, economic anxiety has taken its toll.

Americans used to ride a "three-lane highway" into retirement: a traditional pension, Social Security, and individual savings plans, like 401(k)s.

But the recent economic downturn packed a devastating punch to many 401(k) accounts, U.S. households have dipped into savings to make ends meet, and debt-laden federal, state and local governments will have trouble meeting pension and Social Security obligations.

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