Have Any Of You Traded Russell 2000 Volatility?

[tommo]

Hi,

VIX is well known and there are futures and options contracts to trade it.
There is a volatility index for the Russell 2000 ticker symbol RVX but it doesn't have any tradeable contracts from what I see, its just an index.
But i'm sure people are still trading vol on other instruments other than just the VIX. How would one go about trading RVX? I assume just trading a RUT straddles too simplistic?

Thanks

 

[smallfil]

Do not trade the VIX, instead, I trade SQQQ which has reasonably priced options.

 

[tommo]

Do not trade the VIX, instead, I trade SQQQ which has reasonably priced options.

thanks for the reply. How can one express a Russell volatility position? I don’t think RVX has a tradeable contract

 

[smallfil]

thanks for the reply. How can one express a Russell volatility position? I don’t think RVX has a tradeable contract

Lots of trading opportunities out there. You just need to take a position. This is from Larry Hite. "I have two basic rules about winning in trading as well as in life: 1. If you don't bet, you can't win. 2. If you lose all your chips, you can't bet."

 

[KCalhoun]

I trade Russell weakness with TZA SRTY TWM .... not the exact same vol equivalent of VIX though, which I trade using UVXY VXX etc

 

[newwurldmn]

thanks for the reply. How can one express a Russell volatility position? I don’t think RVX has a tradeable contract

through listed options.

 

[tommo]

through listed options.

Which ones? There’s no listed option for RVX? Do you synthetically construct it?

 

[maxinger]

never heard of this Russell 2000 Volatility thing.

But there is this
Nasdaq 100 Volatility index futures from CME.

However, no one in this world is trading it.

 

[newwurldmn]

Which ones? There’s no listed option for RVX? Do you synthetically construct it?

you do it the old fashion way: trade the index listed options (as you stated in your OP)

 

[tommo]

you do it the old fashion way: trade the index listed options (as you stated in your OP)

Which index listed options would you use to construct a synthetic RVX? That was the point of the thread. Am I missing something here? The Russell has no tradeable VIX. There’s no listed option that mirrors it like with the S&P so how would you synthetically create on specifically?