Here in this article I will explain you VIX definition, history, calculation and its trading strategy.
VIX Definition
In order to measure the bearish or bullish nature of the broad market traders use VIX or volatility Index. In order to do this VIX measure the implied volatility of the S&P 500 index options. The expected volatility of the market is displayed by VIX in 30 days out in the future.

It is believed by the traders that the VIX is a good indication of the fear in the market. This is due to the reason that if the VIX reaches extreme levels, then this means that a number of traders have purchased puts as insurance against a falling market.
History of the VIX
In 1993 a professor at Duke University Robert E. Whaley first published VIX. He was able to create the first index that can be used to track the volatility which is associated with underlying exchange traded futures and options.
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Today the Canadian dollar was near 2 months high as its chief export, the crude oil, rallied as demand for energy increases. This has favored currencies having a similar profile in foreign-exchange markets as the Australian dollar, which is a main commodity supplier for China.

Higher Crude Oil trading supports Loonie
The Canadian dollar which is also referred to as loonie, had the fourth day of advances in this week as the crude oil returned to trade high in commodity markets having future contracts closed near $ 83 a barrel.
This has given support to the Canadian dollar to rally specially against its U.S. counterpart as during most of today’s session in North America frustrating employment data reduced the attractiveness for the greenback.
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