Basics
Implied Volatility
As soon as options exist on a product, implied volatility is embedded in the price. It reflects current market expectations, not past movement.
Core idea
IV exists wherever options trade
Implied volatility, or IV, is derived from option prices. It reflects the market's current pricing of future uncertainty.
That applies to indices, to single stocks, and to many ETF and commodity areas whenever listed options exist.
Indices
VIX, VVIX, and VDAX
The central IV indicator is the VIX. It refers to 30-day expectations derived from SPX options. You already see that world on the dashboard.
- VIX1D 1 day. TradingView
- VIX9D 9 days.
- VIX 30 days. TradingView
- VIX3M 3 months. TradingView
- VIX6M 6 months. TradingView
- VIX1Y 1 year.
There is also VVIX, the volatility of the VIX itself. TradingView: VVIX
For the DAX, the matching counterpart is VDAX or more commonly VDAX-NEW. TradingView: DV1X
Stocks and commodities
IV on single names and special markets
For single stocks there is usually no universal benchmark index as famous as the VIX. Instead, IV is read from each option chain and helps judge whether premiums are historically rich or cheap.
In commodities, OVX for oil, GVZ for gold, and VXSLV for silver are especially useful. They show how expensive volatility is in those markets.
In practice, these volatility indices are more useful as regime indicators. Unlike the VIX ecosystem, they are generally not widely established retail option underlyings.