VIXY/UVXY were designed to screw retail investors. Yes markets are run by lunatics, Eurozone, Japan, UK no different. I believe there is much more to propping up the stock market than just finance and profits. Seems the wonderful Western status quo has something a lot nastier in mind for the general public than just screwing them financially. No idea exactly what that might be but 2008/09 will seem like a day at the park in comparison. Good luck.
Hey there, 6 mths ago I would have defintely said short this thing. At current levels and with markets ridiculously rich to fundamentals, going long would be more logical but this is not something you wanna play (long or short) unless you're able to watch it/act continually. You could have 30% plus gains or losses intraday, which reverse the next day. I left 25% on the table on Monday as I was not expecting such a spike and lost my shares to stop loss. Good that you understand how this works, but not something to hold long term and hope for the best.
Not one I'd wanna be long or short. The talk of new capital is just talk for now. Somehow the 47-1 risk ratio will dominate my perspective. But we do live in a bailout/money printing era where failed businesses are often favored over responsible ones and price discovery is a thing of the past.
In a free market, shorts would have a field day.
Not until more buyers are sucked in. It's also month end. Tomorrow could be the beginning of the end.
I hope retail folks come out of this in OK shape.
I hope anyone buying today has a very short, ie. intraday, time horizon.
Pretty hard to put any positive spin on a 47-1 risk ratio. Today's relatively tame price action could be a headfake.
At least it's consistent. People seem to fail to realize, small caps never stay elevated for long. Even if APPY pops bigtime on news whoever's holding shares could miss out if he/she is not paying attention.
Just as a backup plan, if this become successful and goes public, Ackman will short it. But Icahn might be willing to build beaches (maybe even the homes) to squeeze Ackman. So this can't possibly fail.
ICahn, Ackman, Loeb (assuming he still has shares) are all in the green by a healthy margin. I don't imagine the same can be said of retail investors. Even if this ends up in a stalemate, those who don't take profits or cut losses on a timely basis could be crushed.
You're only screwed if you hold this one long term.
You'll get plenty of chances to profit with that avg cost. But make no mistake, this is a trader's stock.
As long as you don't get married to it you'll be fine.
Anything's possible with a hedge fund war. Fundamentals are out the window on some days, means everything on other days.
All I'm counting on is plenty of huge price swings before the saga ends. And I'm sure I'll get just that.
The last headfake favored shorts. Tomorrow may be different. But unlike the diehard Herbalifers, I'd sell the runup w/o hesitation.
Ackman will not get his wish overnight. And I fully realize this stock could pop into 50s at least in the short term.
And why on earth would I be long?
Same reason I still bother to have any stocks in this pathetic market. Bad ecoonomy/bad results = QE, bailouts, buyouts.
Hope Ackman wins in the end and I can exit HLF before that.
It hard to read because unlike most of the market, the manipulation is mostly in one direction.
Technicals don't mean squat under such circumstances.
Has anyone noticed UVXY was launched on Oct 4, 2011 when VIX went as high as 46.8 and S&P as low as 1,074? Also the 1-2 mth futures curve was in steep backwardation.
Lastly Oct 4, 2011 was a day when central banks did a coordinated mass liquidity injection and the S&P/VIX have not returned to those levels since.
Can only imagine how much worse naive long (for whom I have some sympathy) would have been torched if the volume/trade value in the early going was much higher.
Going long UVXY is only appropriate for a 1-day horizon.