TVIX - the pain returns

With the VIX falling 12% today, and the main market appearing to be starting a new multi-day bounce, the 2x leveraged short-term VIX futures ETN - the TVIX, was smashed 19% lower today.


TVIX, daily

Summary

We saw a clearly big nasty red daily candle for the TVIX today. All trend indicators on the daily chart are now warning of major trouble this week.

The next soft support level for TVIX will be the 10MA of 8.16 - which is some 9% lower from current levels.

Considering the statistical decay -and other problems with this ETN, it would not be surprising if TVIX put in new lows this June. TVIX in the 4s...or 3s...is entirely viable.

As ever...READ the prospectus!