The Volatility Index, or VIX, is a market index that measures the expected future volatility of the S&P 500 index. It is a reflection of investor uncertainty and expected future price fluctuations across the broader financial market. The VIX was introduced by the Chicago Board Options Exchange (CBOE) in 1993 and is maintained by CBOE Global Markets. The VIX attempts to measure the magnitude of price movements of the S&P 500, which is often seen as a way to gauge market sentiment and the degree of fear among market participants. The VIX is calculated using the prices of near-term S&P 500 options traded on CBOE, and it generates a 30-day forward projection of volatility. The VIX is an important index in the world of trading and investment because it provides a quantifiable measure of market risk and investors’ sentiments. The VIX can help investors gauge market sentiment as well as volatility to identify investment opportunities. The VIX index measures volatility by tracking trading in S&P 500 options, and it follows these trades to gauge market volatility. If the VIX index is at 12 or lower, the market is considered to be in a period of low volatility.