easyMarkets News

Our latest products, updates and services

easyMarkets Introduces Fear Index (VXX) To Its Trading Platform

6 December 2016

Volatility is a central feature of the global financial markets and as a trader, you may either fear it or aim to capitalize on it. By offering a CFD on the CBOE Volatility Index, easyMarkets is making it easier than ever before to trade volatility-as-an-asset.

The Chicago Board Options Exchange (CBOE) Volatility Index, also known as the VIX or S&P 500 fear index, captures the market’s expectations of near-term volatility conveyed through S&P 500 Index option prices. As a mean-reverting indicator, the VIX trades on a scale of 1-100, where 20 is considered the historical average. VIX readings below that level generally point to below-normal volatility in the market, whereas readings above 20 signal higher volatility.

The VIX is commonly referred to as the “fear index” for its ability to capture market uncertainty. Through easyMarkets, traders may now trade volatility as a Contract for Difference (CFD), which provides direct exposure to the fast-moving index. CFDs on the CBOE Volatility Index are offered under the ticker symbol Fear (VXX) on our state of the art trading platform.

Why Trade The Fear Index?

  • The easyMarkets Fear Index (VXX) allows traders the possibility to profit from volatility in the US stock market. (Experienced traders know that volatility is a double edge sword and losses may also be incurred.)
  • Fear allows traders to gauge the underlying direction of the market, since the CBOE Volatility Index trades in the opposite direction of the S&P 500 about 75-80% of the time.
  • Accessing volatility as an asset through the easyMarkets Fear Index (VXX) CFD allows traders to potentially profit on falling market conditions. A monetary policy statement, economic data release or political event that trigger sharp moves might be prime opportunities to trade the volatility index as a CFD.

The Fear Index (VXX) indicates that volatility is currently well below the historical average, but has experienced several spikes throughout the year. The New Year selloff, crashing oil prices, Brexit and the US presidential election all triggered intense bouts of volatility that translated into lower US stock prices with a higher volatility reading.

With the easyMarkets Fear Index (VXX) ticker, traders may harness the power of market uncertainty.

To learn more about the Fear Index (VXX) and how you can use CFDs to capitalize on volatility, click here.

Italian Referendum

Sam Bourgi (November 16, 2016). “CBOE VIX: Volatility Continues to Plummet in the Wake of Trump Election Win.” Economic Calendar

What our Traders say about us

keyboard_arrow_left
Chat with us
Messenger

We accept Facebook chat requests
Monday-Friday 8:00-22:00 GMT +2GMT +3

keyboard_arrow_left
Chat with us
WhatsApp
  • 1. Add the following easyMarkets number to your contact list +357 99 875 998
  • 2. Open WhatsApp and select the number you've just added
  • 3. Start chatting

We accept WhatsApp chat requests
Monday-Friday 8:00-22:00 GMT +2GMT +3

Thank you

We will look over your message and get back to you soon.

In the meantime you can check our Learn Centre or Read our FAQ

Request failed

Something went wrong. Please try again.

If your enquiry is urgent you can chat with us here

keyboard_arrow_left
Send us a message

Thank you

One of our customer service representatives will get back to you soon.

If your enquiry is urgent you can chat with us here

Request failed

Something went wrong. Please try again.

If your enquiry is urgent you can chat with us here

keyboard_arrow_left
Call us
call
call
Request a callback
Preferred Contact Time
keyboard_arrow_left
Chat with us

Hi! Welcome to easyMarkets. Just letting you know we're here if you have any questions or need some assistance, I hope you enjoy your stay.

Request failed

Something went wrong. Please try again.

keyboard_arrow_left
Chat with us
  • 1. Open QQ and find easy forex 易信 (800025196)
  • 2. Start chatting!
keyboard_arrow_left
Chat with us
  • 1. Scan the below QR Code
  • 2. Start chatting!

We accept WeChat requests
Monday-Friday 8:00-22:00 GMT +2GMT +3