Greeks.Live: Market sentiment shows a neutral to cautious bias, in a state of narrow fluctuations.

On July 4th, Greeks.Live analyst Adam released the daily market brief indicating that the overall market sentiment is neutral to cautious. Traders generally believe that the current market is in a narrow fluctuation state, with a clear downward trend in IV. The community has reached a Consensus that the performance of positive vega strategies is poor, believing that in the current low volatility environment, negative vega strategies offer a better cost-performance ratio. Positive vega strategies refer to traders constructing option combinations to achieve an overall positive Vega in order to profit from the rise in implied volatility. Negative vega strategies are the opposite.

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