It's just for observation for me. The contract on the futures market is too big and the ETF's that track it do so very poorly. I can see the benefit of hedging with it but I like to stick to more conventional hedges in dollars and bonds. Truth be told I don't hedge often, usually choosing to delay entry and expedite profit taking instead.
I traded VXX (long calls) a couple of weeks ago during the last spike, and made some nice money. I thought about buying puts for the ride back down but the options got really expensive with implied volatility, so I pass. Bad call on my part unfortunately since in hindsight I would have made a huge amount of money.
I think VXX is a good short, but you might want to buy a call option just in case. The risk with shorting volatility is that on the off chance that there is some out of the blue political or natural disaster, or a flash crash in the markets that causes futures backwardation, VXX could spike very high very quickly.
My own opinion is that the low VIX tells me that the market is getting very complacent, especially with how quickly it dropped. When nobody is afraid, that's when I start getting a little nervous.
Your initial post and my reply were both agreeing that VIX will probably go lower, regardless that the 5% plus drop on Friday is suspicious. Things just ain't that good in the economy, but the chart shows me a lower VIX move. Anything could happen, and so much bullishness right before earnings does raise my skeptical eyebrows.