CBOE Volatility Index at a glance. Track the current VIX level, 5-day moving average, term structure, and 30-day history — everything iron condor traders need to time their entries.
The term structure compares the short-dated VIX to the longer-dated VXV (3-month VIX). When VXV > VIX, the curve is in contango — a bullish signal for iron condors. When VIX > VXV, the curve is in backwardation — a caution signal suggesting elevated near-term fear.
Receive VIX-based PLACE/HOLD alerts and strike selection at 3:05pm CST every trading day. Free 14-day trial.
The CBOE Volatility Index (VIX) measures the implied volatility of S&P 500 options over the next 30 days. It's calculated from the prices of SPX puts and calls — when traders pay up for options protection, VIX rises.
Nicknamed the "Fear Index," a rising VIX signals increasing uncertainty in the market, while a falling VIX suggests calm conditions.
VIX directly affects the credit you can collect on iron condors. Higher VIX = higher option premiums = more credit received. But higher VIX also signals increased movement risk.
VixShield's proprietary EDR indicator blends VIX with historical volatility to find optimal entry windows — not just any VIX level, but the right combination of premium and expected movement.
Contango (normal): VXV > VIX. Long-dated vol is higher than short-dated — market is calm now but expects future uncertainty. Good for iron condors.
Backwardation (fear): VIX > VXV. Short-term vol exceeds long-term — traders are panicking now. Caution: iron condors can suffer rapid moves.
Under 15: Ultra-low vol. Premiums thin — harder to collect meaningful credit on $5-wide SPX spreads.
15–20: Ideal zone. Good balance of premium vs. expected daily SPX movement.
20–30: Elevated. Good premiums but watch for gap risk. Use conservative tier.
30+: Fear mode. VixShield typically issues HOLD signals in this range.