This metric reveals the Index or ETF price versus the two month over six month realized volatility ratio. While this seems very technical and specific, it is a metric tracked by many institutional investors. The takeaway is that when the ratio declines, we have lower volatility and a more stable environment. This might be a buying indication for large institutions or CTAs. When the ratio increases, we can expect more near term volatility.

SpotGamma Subscribers can access this chart for the SPX, SPY, NDX, QQQ, RUT and IWM.