Nothing Adds Up: Bears Are Exploding, Vol Is Collapsing, And A Violent Squeeze Is Brewing

Chase convexity

Markets are pricing contradictions everywhere. AAII bears are surging as the VIX collapses, oil headlines scream panic while volatility remains calm, and AI credit risk is repricing while equity vol barely moves.

When the signals diverge this sharply, the opportunity lies in cheap convexity, not chasing spot.