One of the big headlines for the fall is the volatility that has been steering the course of trading every day.
The CBOE Volatility Index (VIX) -- one of the most-watched measures of volatility and "investor fear gauge" -- has come down from the record highs in mid-October but is currently far above normal levels. This has translated into a trading range of more than 500 points for the Dow (DJI) during eight of the first 12 trading days in October.
What's the reason behind this volatility spike? Certainly the turmoil surrounding the Wall Street bailout and the credit crunch are factors, but reports are also coming in that regulators are watching end-of-the-day trading for signs of possible market manipulation.
Regardless, volatility is a fact of life in trading, but it doesn't mean you should stop trading. Here are five ways to use volatility to your advantage right now.
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