TVIX, UVXY - teased into the weekend

The indexes opened sharply lower, with the VIX +12%, but it was yet another failure for the bears, and a tease to holders of the 2x bullish VIX instruments of TVIX and UVXY, which closed the day fractionally higher. Near term trend still looks like a floor has been put in.


TVIX, daily

UVXY, daily

Summary

First, consider the weekly VIX...

A volatility rise across the week of 9%, but it could.- and arguably should have been at least double that. Yet the bulls are still powerful, and the market is still able to claw back most of any declines.

VIX still looks set to jump into the 16s..and make a challenge of the big 20 threshold this month, but as today showed..it won't likely be easy.

For holders of the TVIX and UVXY, as ever, keep tight stops..and unquestionably...these things should be treated like lit sticks of dynamite.

Hold them briefly...and then run.