On the options market which we discussed in a previous short article a fundamental difference is that between call options and put options. As we know, the options are contracts by which upon payment of a prize you have the option to buy or sell a specified quantity of the underlying asset. This can be equities, commodities, interest rates etc.
Well, when the instrument gives the right to buy the underlying, there is talk of call options and when it gives the right to sell the underlying talking about put options. The former is preferable when it is believed that an action or a commodity will rise in price. The latter, when you think that the price of the underlying asset will drop. When investors buy derivatives call and put options on stocks actually bet if these actions will go up or down and by how much. Buy options either call or put options. Put type is equivalent to assuming bullish positions, while in the reverse case you are taking short positions ie selling call or put buying.
In reference to the prices recorded on the call and put options with a maturity of one month arises Volatility indexes and the most important of which is the VIX.