James E. Thorne says a spot VIX reading well above 3-month VIX futures can signal a contrarian buying opportunity, as markets may be overpricing near-term fear.

James E. Thorne says a spot VIX reading well above 3-month VIX futures can signal a contrarian buying opportunity, as markets may be overpricing near-term fear. He notes VIX levels above 30 have historically preceded average S&P 500 gains of 20%.