The uvxy is a decent trade because volatility has bottomed and S&P is close to a top. VIX won't go back to historic 2006 lows because of Europe. Once a decent correction it's all good and I'm out. When volatility comes back this has great upside potential to run.
note: this means those who don't have shares don't want to be short for whatever reasons. 2 possibilities: - they expect upcoming spike so without shares the price could rise substantially (i.e. short cover on steroid) So, they close their position with supreme gains - they realize SEC could be watching after so long. potentially since the inception of this etf
my guess is this bodes well for those who long just marginally because uvxy can be naked short again if vol keeps dropping
nonetheless, this could be the first sign for a change of direction (or at least closer than before)
today i went to SEC website and found where I can file a complaint so i guess there is no need for now.
it means that whoever was holding the naked short for the past 83 trading days decided now was the time to cover and deliver those failed trades. perhaps they know of some domestic or geo-political event that will spike the VIX in the near-term...who knows.