Friday, 8 April 2016

TVIX, UVXY - net weekly gains

With the VIX seeing a net weekly gain of 17.2%, the 2x lev' bullish VIX instruments of TVIX and UVXY managed the first gains in 2 months, settling net higher by 12.4% and 14.8% respectively. Near term outlook offers a further 15/25% upside, before cooling into opex (April 15th).

TVIX, daily

UVXY, daily


*first, an update on the VIX, which saw a net weekly gain of 17.2%

As for TVIX and UVXY, it was a somewhat disappointing end to the week. However, despite net Friday declines, the daily candles were of the reversal (hollow red) type, and bode for renewed upside on Monday.

The upper bollinger for TVIX will be around $6 on Monday, and that is arguably the highest level it might manage across next week.

UVXY will have strong resistance around $25/26.

*I continue to hold TVIX, seeking an exit in the $5.50/6.00 zone next Mon/Tuesday. I would imagine there is high opportunity that I would then be able to buy back in the 5.25/4.75 zone by next Thurs/Friday.