Replies to post #648 on ProShares Short VIX Short Term Futures ETF (SVXY)

[Toofuzzy]

37

Who knows. That is why I would never buy Uvxy. SVXY can at least move up for a very long time.

If you buy SVXY on a vix spike and Vix goes higher you can survive.

If you buy Uvxy because vix is low you can be wrong a very long time.

To answer a previous question. I have traded options a very long time but I am no expert. Mostly sold out of the money covered calls at prices I would sell anyway and sell puts at prices I would buy.

The cost of options on SVXY and Uvxy is a big hurdle and because of the risk I would never sell except covered calls but its not worth it. These are like options already.

Toofuzzy

[Marketwise]

Right now it looks like very possibly another of the "blip" scenarios, however, stay vigilant, I guess. If earnings in major companies start coming in a little weaker than expected or than they have been - that could provide a little catalyst for a small pullback. A catalyst is likely needed though, imo, which would - in turn - set up for a nice year end rally after Thanksgiving. So far, though, I see another market blip....