UBS: The surge in Wall Street's fear index provides a market entry opportunity

As traders floundering from this week's stock market plunge ponder their future, UBS analyst Solita Marcelli remains optimistic that US stocks will continue to trend upward in the coming months. She said the brief surge of the Cboe Volatility Index (VIX) to multi-year highs earlier this week also provided an entry opportunity for traders, especially those who are on the fence. She pointed out that after a spike in Wall Street's fear index, US stock returns over 3 months, 6 months and 12 months are usually above average. "We're going to face some volatility, but I think there's still some decent upside," Marcelli said.