Event Trading Volatility

So I'm not entirely sure how to explain this but it seems there is a market for trading volatility around catalyst-driven events. I'm talking central bank decisions, surprising government tweets, natural disasters, corporate scandals... Basically any time things can get out of whack for an individual equity name, a sector, the VIX, or their relationship to each other. I'm talking buying or selling vol in these instances using options.

There are some books out there that sound like they talk about these things but at first glance they seem corny to me (https://www.amazon.com/World-Event-Trading-Analyz… for instance).

Is this a strategy people actually use at HFs like Citadel or places like Susquehanna? Is trading vol based on catalysts possible for a retail investor? Am I totally making this up?

 

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