Active investment management’s weekly magazine for fee-based advisors

Larry McMillan

Professional trader Lawrence G. McMillan is perhaps best known as the author of “Options as a Strategic Investment,” the best-selling work on stock and index options strategies, which has sold over 350,000 copies. An active trader of his own account, he also manages option-oriented accounts for clients. As president of McMillan Analysis Corporation, he edits and does research for the firm’s newsletter publications.

Is long-term volatility too low?

Volatility remains bullish. There really isn’t much else to say other than that. $VIX has drifted back below 14, and that is causing the usual amount of worry and consternation that it is “too low.” In reality, a low $VIX is benign as far as the stock...

Determining the trend of volatility

We often talk about how the stock market usually trends in the opposite direction from volatility ($VIX). But how do we really measure the trend of $VIX? Often, we use the 20-day moving average (MA), but that is a very short-term moving average that...