Replies to post #12767 on ProShares Trust Ultra VIX Short Term Futures ETF (UVXY)

[mrPiNK]

A lot of heading going on with these long positions. Blow off tops on broader markets?

[mannken]

There was a brief period today where VIX was in backwardation, it's back in contango at this hour

Few things to chomp on

VIX is S&P volatility, can use SPY as a chart reference

SPY was off 3.4% today, standard market correction is 5-10%

10 year yield is still below 1% @ .063, environment for stocks is still favorable with low yields

In the bottom chart, it shows A/D breadth (advancers vs decliners) for S&P and NAZ. The NAZ breadth was clearly diverging negative before the selloff, while the S&P was not, I suspect NAZ has much more selling ahead than S&P, which could put a cap on VIX volatility

SPY channel support