Do you recall the evil of the market back in early February? You know, those evil folks that caused the market to crash known as the “short-Vol/VIX traders”. CNBC’s Mad Money Host Jim Cramer penned an article only a couple days after the February 5th Volpocolypse titled “Jim Cramer: There Are 4 Real Culprits for…
Social media and social-financial media sites can be a scary place. Be it Twitter (TWTR), Seeking Alpha or StockTwits, they might be better understood to have a caveat emptor (buyer beware) sticker attached to the various social platforms. I participate and have participated in all of these venues in order to gather resources and disseminate…
How Does SVXY Work? February 9, 2018 Vance Harwood Just about anyone who’s looked at a multi-year chart for a long volatility fund like Barclays’ VXX has thought about taking the other side of the trade. ProShares’ SVXY is an Exchange Traded Fund (ETF) that allows you bet against funds like VXX while avoiding…
How ’bout those VIX products, huh? For a few brief moments this morning, when XIV, SVXY, and VXX were all halted, I felt like I was in a Twilight Zone episode. SVXY is currently trading again at one-tenth of its former price, and given the fact that it tends to go up over time, I’m temped…
I know it’s not a great idea to dabble when it comes to vol product trading, but when the VIX popped today, I thought I’d try something a little bit different than my go-to strategy of selling UVXY calls. Don’t get me wrong — I did sell some UVXY calls, but on a whim I…
If you trade the within the VIX complex you are likely following a trend that has tapped into the “the nature of volatility”, which is to decline over time. But the question many may have not considered is why, why is that the nature of volatility. For most people trading the VIX complex or volatility…
