With the VIX climbing into the weekend, TVIX and UVXY saw very powerful Friday net gains of 24.7% and 25.2% respectively. However, it is equally notable that TVIX and UVXY saw net weekly declines of -12.7% and -12.9% respectively. With no fed rate hike, higher market volatility is here for at least another month.
*first, an update on the VIX, which saw a net weekly decline of -4.0%
As for TVIX/UVXY, if the VIX has floored in the 17s - with sp'2020, then from here on.. into early October.. things are about to get 'real interesting'.
*I have no position in VIX, but will look to pick up a VIX call block early next week.
VIX in the 30s - by mid Oct' looks an easy target. The real question is whether we'll see 40s.. or 50s again.
Best guess.... 40/45... by mid Oct'. with sp'1820.
As ever... one day at a time!