This is a real time monitor to observe the CBOE Volatility Index (VIX) and this application issues alerts when levels of this index are critical or requires attention, the alerts appears visual and in human voice.
This index measures the implied volatility of a basket of out-of-the-money buy and sell options for the S&P 500. It was created by the Chicago Board Options Exchange (CBOE) and is maintained by CBOE Global Markets. VIX increases when the investors buy put options to protect your wallets. High VIX indicates a greater need for insurance. Volatility, or how fast prices change, is often seen as a way to gauge market sentiment, and in particular the degree of fear among market participants.
According to the historical volatility of the VIX, some values can be highlighted. The most high values were during the subprime crisis (2008) and in beginning of the covid pandemic (2019), when the VIX reached 89.9 and 85.2, respectively. The most low value was aproximately 8.8. There are intermediary values can be considered, these values can be organized in five class: (1) no risk until 18, (2) above 18 and below of 25 (acceptable volatility) and (3) above 25.1 and below of 36 (attention), (4) above 36.1 and below of 48.8 (high volatility) and (5) above 48.9 (critical volatility) presents great fear and uncertainly in market.