Long IV?

[Anonymous No.54536646]

https://www.alphaquery.com/stock/spy/volatility-option-statistics/30-day/iv-mean
Using this information, the average historical volatility of SPY sits between .15 and .16. It also shows that current implied volatility is between .16 and .17.

Considering IV tends to almost always be higher than HV, it has made sense to sell options and ride out the difference. I have also read that marketmakers will only sell options when they predict that IV is higher than HV since it's considerably less risky than buying. Furthermore, if options are considered insurance like contracts, the insurance company (the seller) must have an edge, else, there is no point in selling the contracts.


https://finance.yahoo.com/quote/%5EVIX/chart/
Using this chart, I have found that IV of SPY is at a relative low, and when it's low, it tends to go up. When it's up, it tends to go low

Compiling this information together, would it be reasonable to go long volatility? A strategy of buying a call and a put at the same strike, have implied volatility go up, and sell for profit?

[Anonymous No.54537974]

>>54536646
Bump for plan to actually make money

[Anonymous No.54538570]

I’m listening. You’re pretty fucking close to the millionaire strategy I use. Keep thinking

[Anonymous No.54538971]

>>54538570
Does your millionaire strategy involve volatility in any way? I'll keep looking into it.