Friday, 29 April 2016

TVIX, UVXY - battling higher into the weekend

With equities broadly falling into the weekend, the VIX climbed, and that saw the 2x lev' bullish VIX instruments of TVIX and UVXY attain net weekly gains of 7.9% and 9.7% respectively. Near term outlook offers further upside of a further 15/25%.. before renewed cooling into mid May.

TVIX, daily

UVXY, daily


*first, an update on the VIX, which saw a net weekly gain of 18.8%.

As for TVIX and UVXY.. yes, its a net weekly gain, but both instruments are still significantly net lower on a monthly basis.

TVIX - March 31st close: 4.39   - 3.82:     -13.0% 
UVXY - March 31st close: 19.33 - 17.02:   -11.9%

As ever.. such instruments suffer from statistical decay (amongst other problems).. and holds lasting beyond a few weeks usually end badly.

*yours truly remains long the VIX - via TVIX, am naturally underwater, seeking an exit in the 4.75/5.25 zone next week.