Dow historical volatility since 2011

[Error Correction Funder]

 

[Overnight]

How about the volatility since 1925 or so? That would be a better chart to gauge anything, methinks.

 

[Error Correction Funder]

https://www.marketwatch.com/story/b...latile-to-this-extent-in-my-career-2018-04-05

 

[Overnight]

https://www.marketwatch.com/story/b...latile-to-this-extent-in-my-career-2018-04-05

Yes, that interview was posted yesterday. Watched his interview yesterday. You're late to the party. But without a chart, it means nothing.

 

[Saltynuts]

What is "Dow Realized Vol", as compared to the VIX let's say? The VIX is a lot higher than it was a few months ago, but I don't think that far from its historical norm. It can go a LOT higher. Not sure what Dow Realized Vol is.

Thanks!

 

[Error Correction Funder]

What is "Dow Realized Vol", as compared to the VIX let's say? The VIX is a lot higher than it was a few months ago, but I don't think that far from its historical norm. It can go a LOT higher. Not sure what Dow Realized Vol is.

Thanks!

The VIX is the projected volatility, called implied volatility, for the S&P 500. The S&P 500's realized or statistical volatility is a trailing version of the VIX that happened in reality.

Realized volatility is usually below the VIX, implying that option buyers are buying at a premium, but now realized volatility is higher than the VIX, implying that option sellers are selling at a discount.