Kevin_in_GA
4,599 posts
msg #133892
- Ignore Kevin_in_GA |
1/26/2017 11:59:03 AM
I would only buy TVIX if the VIX were in backwardation (contango less than 0%). Otherwise I usually short it, which has been a very reliable trade.
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T_Charp13
35 posts
msg #133893
- Ignore T_Charp13 |
1/26/2017 12:06:32 PM
Short vix when contango is below 5% and buy TVIX when in backwardation, got it. What is your preference of TVIX over UVXY?
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shillllihs
6,095 posts
msg #133894
- Ignore shillllihs
modified |
1/26/2017 1:19:25 PM
Go long Vix under zero, not short.
This goes hand in hand with what I've been saying, that shorting Vix is very reliable and going long Vix is a gamble. One thing I will say is, if Xiv starts to drop, it will almost 100% hit Weekly Acceleration Band(21) midline, and in my o. reverse back up. If not, look for a bear market, though I think won't happen for 3-5 years.
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T_Charp13
35 posts
msg #133896
- Ignore T_Charp13 |
1/26/2017 1:57:07 PM
You are right, meant to type to short XIV and not VIX
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Kevin_in_GA
4,599 posts
msg #133898
- Ignore Kevin_in_GA |
1/26/2017 3:55:04 PM
Short vix when contango is below 5% and buy TVIX when in backwardation, got it. What is your preference of TVIX over UVXY?
No -
Contango above 5% - Long XIV or short TVIX
Contango between 5% and 0% - WAIT. The market is not sending a clear signal and there is no need to jump the gun.
Contango below 0% - Long TVIX, and watch it carefully. Probably good to use trailing stop to lock in what profits you can, since this is usually a short term mean reverting trade.
TVIX and UVXY are functionally the same.
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shillllihs
6,095 posts
msg #133899
- Ignore shillllihs |
1/26/2017 4:18:41 PM
And if you do play Vix long in a bull market, it should only be for 5 days.
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SAFeTRADE
649 posts
msg #133900
- Ignore SAFeTRADE |
1/26/2017 6:28:24 PM
Where to find the numbers on contango? The math is horrible! at least for me.
I have seen the formulas, I am pretty sure he can handle them from the stand
point of his profession. Is it really worth trading these vehicles if these numbers
are not readily available?
Clarence
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Kevin_in_GA
4,599 posts
msg #133901
- Ignore Kevin_in_GA |
1/26/2017 8:56:16 PM
Go to www.vixcentral.com. They are all there. Updated constantly throughout the day.
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SAFeTRADE
649 posts
msg #133902
- Ignore SAFeTRADE |
1/26/2017 9:52:35 PM
Many thanks, Kevin.
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shillllihs
6,095 posts
msg #133904
- Ignore shillllihs
modified |
1/27/2017 1:36:05 AM
Binary options are starting to look very interesting to me, especially with many brokers now allowing long term trades. Does anyone know if you can trade individual stocks or ETFs like Xiv on them?
Would be so ez just to wait for the big pullback and just guess up.
http://www.optionsadvice.com/strategy/long-term-binary-options/
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