Is the VIX telling us it is time to buy?

[dan_s]

"When the VIX is high, it's time to buy" — should investors really follow this old Wall Street adage?

Buy low, sell high. The trend is your friend. Sell in May and go away. Wall Street is teeming with familiar financial adages. But there’s one you may not have heard of: “When the VIX is high, it’s time to buy.”

Similar to “buy the dip,” the idea is that when the level of fear in the markets has reached its peak, it's the perfect time to buy because stocks are most likely trading at deep discounts. To quote famed investor Warren Buffet of Berkshire Hathaway (NYSE:BRK.A,NYSE:BRK.B), “Be fearful when others are greedy, and greedy when others are fearful.”

But what is the VIX? Here the Investing News Network answers that question and more, including whether or not the old saying still holds true in times of heavy uncertainty.

https://investingnews.com/what-is-the-vix/