The Nasdaq is making up a big part of the market with gains in the past few days and the VIX ‘Fear Gauge’, which were at an all time high before dropping on Friday, has taken another dive. The Dow Jones index meanwhile continues to climb, but with more volatility than usual and there is no sign of any end to this bullish run. So what does the VIX tell us about the markets?
A quick look at the VIX data through the months reveals that there are some similarities between the lows and highs, as shown in the chart below from a charting service called Tradefor (click on the image to get a larger view):
You can see that the big picture index is not a real good indicator of where the market is going. As the market goes up, the ‘Fear Gauge’ goes up as well. This is due to the fact that there are not many buyers or sellers in the market. As time passes by, the prices drop off and the ‘Fear Gauge’ remains high.
The main reason why the Nasdaq is able to gain more than the Dow is due to the fact that the VIX index contains a large number of security pairs. This means that there is much greater liquidity, which makes it easier for investors to buy and sell shares and commodities. That also means that the market is much more volatile.
The fact that this market is so volatile means that people are much more likely to be on the wrong side of these trends than the market itself, so you should be ready to take profits and lose money if you are on the wrong end of a trend. If you are going to make a profit from this market, you have to do your own research and learn to spot trends and learn how to trade them.
It seems that the stock market is starting to hit a plateau in some areas. There is no indication yet that the market will start to move upwards again and it appears that the market will remain flat for some time, although there is a chance that it could start rising again.
Traders who are new to trading should be aware that it is much easier to get in and out of the market than the stock market, so if you have been trading in the stock market for a while you should know that it is far easier to get in and out of the market compared to the Nasdaq. market.
Traders have to take their time and learn to find out when to jump in and when to wait out and when to stay in the market, especially if they are looking to get into the market to ride the momentum. There are plenty of opportunities to invest in the market and as long as you know how to spot the trends.
Traders should never place too much of an emphasis on the market. While the market may go up and down, the markets that have the greatest potential for profit are the markets that do not move very much and only have a few different options.
It is a good idea to diversify your portfolio. The reason why the market has been able to reach the level that it is at now is because of the fact that many different industries are able to thrive and therefore, this market is not stagnant and there are a lot of companies that are able to raise money to continue growing.
The Nasdaq has been able to take a huge hit over recent months and the VIX index is expected to stay there for the foreseeable future. When the markets begin to rise, there is a tendency for traders to rush in and try to take advantage of the low prices and make a lot of money in a short period of time.
However, there is a good chance that the markets will remain flat and the Nasdaq and the Dow will stay in place for the next several months. So if you want to know how to profit from the Nasdaq, then you need to look at all the factors that are currently affecting the market and learn how to trade them.