I expected oil to hold the range and rally like it normally does into July but last year and it looks like this year things are playing out a lot different and it doesn't matter how much people are traveling and how much oil is being used there is just too much oil being pumped as shown by this report which shows an increase in inventory after 9 weeks of declines.
Not able to hold $3.08, $2.98 or $2.95. The fact that even over the past few weeks when we saw draw downs in the inventory oil couldn't rally or on market up days oil didn't rally and then to see the market snap back over the last two days and oil just plummet there is something really wrong (too much oil and too much production).
UWTI could see $2.58 or lower in the near term.
If oil would have held above it's lows from the past couple days I would have called for oil to go to $65 with the peak driving season upon us but now it is seriously broken down lower and we might not see those levels above $60 until August.
Boo! Seriously everyone knows that the last week of June is your last chance to get in before the July run up. This will be north of $4 and everyone will be complaining about how they day traded this and got out at $3.40 and never had a chance to get back in. Buy this thing hand over fist for the next two weeks and be rich!!!
Another skewed week for XIV... In a normal year with the type of S&P performance and the type of volatility we had XIV should be at $50 but instead hear we sit under $35 watching the S&P close at all time highs once again. VXX has even acted better than XIV in 2014 and they even have to deal with options which skew things big time.
Market has already recovered all its losses and XIV is still 20% lower. XIV doesnt shoot higher till after the market closes today. This product is so skewed now its ridiculous. We are entering the least volatile week of the year so XIV should have already cleared $34 today on its way to $40 by the end of the year.
I don't know but a 10% down move in the VIX is pretty good and XIV spent most of the day only up a little over 1%. The SPY and the DOW almost out performed XIV.
He doesn't want people bashing his product that doesn't do what it's supposed to do. His pals at Velocityshares thank him for trying to pump this garbage product that should be at $48 not $39.
You could have tripled and quadrupled your money in multiple stocks in the time it took these clowns to finally sell the company. I can't believe they tried to make a business out of laughing and crying medicine. Now it's Otsuka's problem and they won't be able to make any money on it either.
It's pretty bad that the S&P 500 has almost outperformed XIV over a 1 year period. Basically both at 15% gains over the last year. XIV should be up at least 50% every year.
In 2011, 2012, and 2013 XIV would outperform or at the very least match the inverse of VXX (I know they are two seperate items but they used to correlate inversely) but now in 2014 XIV is not even close. Credit Suisse is skimming money and making this product not correlate to anything not even the supposed daily inverse return of the index.
I have ran my own calculations and everything makes sense until 2014 and now they have somehow skewed this product to no longer do what it is supposed to do. The fact that it somehow dropped below $30 on that last collapse was garbage. Your math no longer makes sense Credit Suisse so time for you to talk to the SEC.
The index was designed to provide investors with exposure to one or more maturities of futures contracts on the VIX, which reflects implied volatility of the S&P 500 Index at various points along the volatility forward curve. The calculation of the VIX® is based on prices of put and call options on the S&P 500 Index. The S&P 500 VIX Short-Term Futures Index ER targets a constant weighted average maturity of 1 month. The ETNs are linked to the daily inverse return of the index and do not represent an investment in the inverse of the VIX.
For some reason Contango no longer matters to Barclays... Most years this would have been sitting under $20 by now but all of a sudden in 2014 Barclays has magically been able to get rid of contango.
VXX and TVIX up same amount? Did someone forget to tell Barclays TVIX is 2X VXX?
I can't wait for the next reverse split on this trash.
Nice job Barclay's. You have designed a product that does nothing it's supposed to do.
1. Track Volatility - Depends
2. Track S&P 500 Options Pricing - Depends
3. Contango - Depends
Let me make this easy for you Barclay's.
When VIX is down and S&P 500 is up, VXX should be down especially since there is this thing called Contango.
I realize you are trying to hold this thing up but it is a shock to nobody who has looked at a 5 year chart that this thing is designed to go to zero. There is no reason to save the suckers who bought at $30 or $40 or $500 (with reverse splits).