It has been a volatile nine or so months in the stock market. Since spring 2007 the CBOE volatility index (VIX) has shot up twice from around 13 into the high 30s. The housing market/sub-prime lending contagion spread into the overall market and economy, and recession is in the air.

Why then, should you explore strategies to take advantage of a directionless or sideways market? Because it is a trader’s job to anticipate the next phase of the market. As Solomon once remarked, "This too shall pass."