Keep watching. It will come down. Take a brief nap, then look at your computer screen. VXX will get closer to 17 if the market keeps trending higher. VXX can move quickly. So today price may be held higher by a market maker for a longer time until convinced that the market will be continuing higher. Makes it harder for the daytraders. Then, in a blink, VXX will lose the majority of the gains it currently has.
I am making only tiny trades now. Only building up my core short position in case we don't get any major correction in the market this year. I would hate to go all year waiting for a market crash and not have any money working for me, and the market just drift up and down for the rest of the year.
I have partially and completely sold off my core position this year for profits, then rebuilt position multiple times. I do not recommend completely selling off core short in UVXY, but I have been lucky this year and have been able to rebuild the short position with better prices every time that I have done this.
I don't sweat the trades that I am making now at all. It is when major volatility hits and clearly has legs like when the PIGGS were failing, when the UVXY trades make the hair on the back of your neck stand straight up.
I am looking forward to the next big market selloff. This straight up action in the market this year is adding plenty of fuel for a major market dive. Just must be patient. With talk of winding down QE, it will happen, just a matter of when!
I sold short a handful of shares at 6.23. I am still adding to my core short position. I am still waiting for a $200 + Dow drop day before selling a nice chunk of shares for a trade, or to purchase a bunch of puts. This market is untouchable this year. Just won't sell off. I am amazed how long we have gone without one 300 Dow point selloff.
Futures back in the red! Nikkei down 350! No question that volatility is back. Will gets some action in the VIX today! I expect a volatile summer. Will be llots of opportunities to get short UVXY or VXX after big spikes.
This perpetual bull market is the perfect setup for a mini crash, with talk of fed stimulus wind down, trouble with Japan markets, strong dollar, gold crashing, Netflix over 200 come on!, Aapl sputtering, Tesla and Herbalife short squeeze's played out. It is time for a correction. Let the trading begin!
Futures back to green. Just no stopping this bull market. The teflon bull market continues its rise.
I figured something had to give by the end of May. Got to keep the sell in May theory relavent. Hopefully UVXY spikes like a rocket in the morning so that I get another chance to build up my short position! Japan market crashing, US dollar keeps rising, and fed bracing for exiting QE, yet market keeps going straight up. That has got to end!
No. No suggestion of anything like that. I was simply sharing what my Grandpa likes were compared to what his great great grandpa's interest were. I would certainly like to learn more about why his great great grandpa would be so fond of horse whip producers. And, I thought he might be interested in my Grandpa's interest in the martial arts.
I hope his mention of his Grandpa's love of horse whip producers was not to suggest that he had any interest in using a whip on me.
My thought was that perhaps my Grandpa's love for the martial arts came as a result of his great great grandpa's love for horse whip producers. Perhaps a lesson in history could come out of this. The kick box techniques that I was referring to, that I would be willing to demonstrate for learning purposes only, and in no way with intention to harm anyone, would include a technique for defending oneself if attacked by someone using a horse whip as a weapon.
You described me accurately today. I was expecting a 200 to 300 point dow sell off given the drop in Japan, so thought would get a greater spike in VXX/UVXY than we got. I hesitated, so missed an opportunity. That is why I keep a core short position. I was convinced that market was going down, and yet looks like it may go green, yet again.
It is always better to be short VXX. I wish that I had shorted more UVXY at the open!!!!!!!!!
Every time I go to sell UVXY short, it just drops like a rock. I sense volatility, so trying to catch a big spike. I want to short at the top. I hope that I haven't already missed the top. This is my kind of market!!!
Nice, now you can make a down payment on your 11/2 million dollar car, and I bet you didn't even know that!
My grandpa loved athletics and martial arts is a love of our family that we continue to pass down generation after generation. Maybe we run into each other one day and you share some stories about cameras, typing and whips. I could then share some martial arts kick box techniques with you. Maybe I could even convince you that I do know what I am doing!
I don't recall the market going straight up over 5 years. In fact, it has been only since Jan 2013 that we have had this unusual parabolic move. The last 2 years, 2012 and 2011, were more dictated by Eurozone concerns than what the fed was doing.
Taking the fed stimulus away may end this straight up bull run that we have had this year, but does not guarantee that the market will go into free fall.
I just do not feel that VXX pattern will change as dramatically as other contango problem ETN's like UNG because VXX is not a commodity that might have a dramatic change in demand, or product based that might have a huge turn around. The market over time has risen since the time stocks began trading over a century ago. The pattern over time is upward. And , for VXX, over time, the pattern will always be eventually downward. Maybe not as steep a downward path without the fed stimulus, but regardless, still likely downward in the long run.
To get max return, savvy trading helps. Just always hold a core short position, and then make opportunistic trades without taking the core holding down.
I have made more mistakes taking profits too early and missing out sitting on the sidelines with no holdings than I have from holding a position too long.
Stay in the game with the core short position, so that you continue to profit some, despite taking profits too early from trading, buying puts, shorting calls, etc.
Even if VXX does close over 19, it will eventually drift back down toward 17 and below. Think if you had a great great grandpa who ivested and put stock certificates in a safe for future generations. As you open the safe, you certainly hope that he had stocks that were long the market, because likely worth quite a bit now.
With VXX, just the opposite, you know that over time, will lose money if long, and many more opportunities to make money if short.
The spikes higher are dramatic, but spkes can be few and far between.
The downward direction is much more consistent over time, and allows a short to make profits, though may be a grind. But, the profits are nearly guaranteed over time, similar to going long the market with an index fund over a long period of time.
With VXX, if you short and willing to hold position 6 to 18 months, you will make money. If not willing to hold position over 3 months, then must wait for major spike before shorting.
Market may go higher as well! It is clear to me that a change in momentum signaled today. But, I expect some choppy trading for a while. The market is not going to make it easy for anyone to figure out its path. I look forward to trading opportunities. Sitting on the sidelines won't make you money.
I shorted UVXY near its highe today. Will short more if market crashes tomorrow!
Shorting UVXY after a spike like today. is a pleasure only a trader who has waited nearly 5 months for a day like today could truly appreciate!. Volatility is back! And. my shorting UVXY has just begun!!
A toast to all the patient option and equity traders out there! "Here Here"!!!
Who is telling you to load up? Are "they" on the other side of the trade? Maybe Goldman Sach's or that Jamie Dimon guy. This lady kept telling me to load up on silver last year. I didn't do it, though I am starting to dabble in SLV a bit now!
I would never load up on VXX. Just short it and experience the joy of making money!
At this point, may not see the pop in VXX as one might expect with pullback in market. VXX will likely be flat to down with any pullback given the anticipation that the market will be bought on any significant dip.
I continue to short UVXY at these levels, for I think the downside risk for VXX/UVXY far outweigh any upside potential for the near and intermediate term.
Only will a change in fed policy slow this market down, or perhaps a few bad hurricanes this year. Never know how the weather might shake things up!