One chart is more important than any others right now…
And it’s not the SPY.
The SPY is down 9% in the past month. Everyone’s focused on that, but options traders should be looking elsewhere…
The CBOE Volatility Index (VIX) is my north star for trading this market.
This is my VIX rubric:
VIX 10-15: Normal position sizing and setup standards.
VIX 16-20: Reduce positions by 33% AND raise standards. Every box must be checked — Smart Money confirmation, volume, clean technicals. Begin hedging.
VIX 21-25: Cut positions in half AND become extremely selective. Only take setups where everything aligns perfectly. Increase hedges.
VIX above 25: Minimum viable positions AND highest standards. Only trade your absolute best setups.
Look at the VIX. Notice anything?
It’s above 30 (!!)…
This is the third week in a row it’s been elevated, continuing a perfect uptrend throughout 2026:
And when the VIX stays this high (for this long), you need to change nearly everything about how you approach the options market…
Why A 30+ VIX Changes Everything
When the VIX is above 30, options are more expensive. Market makers charge more for your premium.
So what?
When options are more expensive, you get worse risk-reward.
Your job is to manage risk. When the ratio is worse, your job gets harder.
But it isn’t impossible.
You have four viable choices:
1. Trade less.
2. Look for long-term opportunities. Stretch your timeframe out.
3. Watch, learn, and be patient. Another way of saying “trade less.”
I’m combining options 1, 2, and 3 right now, being extra selective about what I’m willing to pay for options.
In times like these, I let the Smart Money do the hard part for me.
I’ll let the whales pick the best possible options, then narrow it down from there.
These are my four favorites…
4 Setups That Are Still Cheap
I’m looking for relatively inexpensive options right now. I’m not buying $7 premium calls when the VIX is this elevated.
REMEMBER: The market is closed on Friday. All weeklies expire on Thursday.
These are all cheaper plays in an expensive environment:
CRWV April 2 $62 Puts
Lots of Smart Money activity on CoreWeave Inc. (NASDAQ: CRWV) last week. Bearish drop pattern forming. If this thing can break back down below $73 (Friday’s low), I’m interested in the April 2 $62 puts. Create that alert at or below $73.
HL April 24 $18 Calls
Hecla Mining Co. (NYSE: HL) just bounced off clear support. Now it’s bouncing back up. If this chart can get above $18.45, that’s a stage one to stage two break. Odd week expiration, odd lot sizes, but the money flow looks solid. Create that alert at or above $18.45 for the April 24 $18 calls.
PTON May 15 $5 Calls
Peloton Interactive Inc. (NASDAQ: PTON). COVID favorite until everyone started using these bikes as clothes hangers. You know what I’m talking about.
Nice little pop yesterday. Potential stage one to stage two breakout. Gap to fill above $4.92. If this thing can get above $4.75 (key resistance from Friday), I like the May 15 $5 calls. Create that alert above $4.75.
Or wait for a pullback to $4.40 support if that’s your style. Create that alert at or below $4.40.
Why do I like these? Relatively inexpensive call in this environment. We don’t want to get out over our skis right now.
ASPI July 17 $9 Calls
ASP Isotopes Inc. (NASDAQ: ASPI). Another relatively inexpensive option. We’re not calling out names with $7 premium right now. They’re wicked expensive.
If ASPI can get above $4.60, I think it’s interesting for a potential stage one to stage two breakout. Double bottom, higher low forming. Create that alert at or above $4.60 for the July 17 $9 calls.
Can this thing get back up into the tens and teens where it was this past fall? We’ll see.
How to Trade With The VIX Above 30
The VIX is telling you to slow down. But it’s not necessarily telling you to stop…
It all depends on how you approach your setups (and which setups you trade).
Your trading needs to match the moment…
That’s why I’m hosting a LIVE 2-day Bootcamp March 31st – April 1st at 12:30 PM EST.
I’ll walk you through the low-stress options system I’ve used for over 20 years. The same system that’s allowed me to live free from financial stress in Florida with my wife and three kids.
It’s not sexy. It won’t make you rich overnight. And that’s the point.
But it will help you build a personalized trade plan that fits your life and helps you, so you can quit stressing and get back to living.
WARNING: NO DEGENS ALLOWED
See you there,
Ben Sturgill
*Past performance does not indicate future results
