Score 9.5 (out of 10): US equity volatility (VIX) could rise +23.5%



CBOE VIX FUTURE indicates an interesting 3 months seasonal set up. During similar occasions, CBOE VIX FUTURE had a median return of +23.5%, over the following 3 months – based on 9 historical occasions with 9 of those showing positive returns (100%). This buy signal for CBOE VIX FUTURE received a high score of 9.5 (out of 10).


NameVIX Future
Star (1 to 10)9.5
Time3 month
Hit Rate100%

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

23.5% (July-2020), 28.1% (July-2019), 47.1% (July-2018), 18.5% (July-2017), 19.9% (July-2016), 32.8% (July-2015), 36.2% (July-2014), 5.2% (July-2013), 10.5% (July-2012), 0%

How have we arrived at this insight:

The conditions that led to similar insights previously have just been triggered in the market, making this ‘insight’ relevant right now.

While sorting through the mountains of data, our data engine detected a statistically relevant historical relationship between this ‘insight’ and the asset. Our data engine aims to optimize between statistical relevant relationships (high accuracy), situations that are relevant right now (entry timing) and ideal trade horizon (exit timing).

Based on the statistical significance of previous returns in similar situations, a high score indicates a more statistically relevant expected ‘future’ move for this particular asset. After calculating various scenarios, we found the optimal trade horizon for this particular relationship to be 3 months. 

We calculate the median return for those previous situations (median is calculated by taking the ‘middle’ value, the value for which half the observations are larger and half are smaller) to determine the +23.5% estimated target return.

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