Making money on Volatility. I have a special account, which current represents 10% of my brokerage account, that I call my gambling account. I use it to generally buy $5-6K tranches of a stock, which I feel could increase by 5%+ in a couple of weeks or a month. But there are three volatility Indexes TVIX, TQQQ and SQQQ which are heavily leveraged indexes on the Volatility Index an NASDAQ. I've made almost $100K trading these stocks during mid year when the market was crazy. TVIX and SQQQ drastically drop in price and TQQQ dramatically increases when the market is good. The reverse happens when the market dips.