NaughtyPines
做空

LOW VOLATILITY CYCLE -- CONSIDER GOING LONG VIX PRODUCTS

AMEX:SVXY   PROSHARES SHORT VIX SHORT TERM FUTURES ETF
As a bread-and-butter, premium selling, index ETF trader (SPY/IWM/DIA/QQQ), low volatility environments are not favorable for my type of trading. My alternatives are to either just sit on my hands and wait for volatility to return or do something else, such as earnings plays or VIX             trades.

For some reason, I have taken a liking to shorting SVXY             as compared to going long UVXY             if prices are right in the underlying. I don't know what it is; I just seem to have trouble getting fills at the mid price in UVXY             ... . Although I would like the price in SVXY             to be higher, it is high enough to generate sufficient credit for my tastes via short call verticals on relatively short expiry time frames (two-three weeks max) with the short call leg at or above the 98 strike.

Example:

Sep 4th 98/101 SVXY             Short Call Vertical
POP %: 70%
Max Profit/Loss: .93 credit/contract; 2.07/contract
BE: 98.93

Notes: Due to the short time frame involved, I generally look to take these off at max profit or very near to it. Naturally, this is a very "play it by ear" sort of thing. If price appears to be flirting with my short call strike at any time before expiry (i.e., it's uncomfortably close to it), I generally opt to roll the setup out for duration and credit, especially when I've gotten in at a break-even above resistance ... .
简体中文
English
English (UK)
English (IN)
Deutsch
Français
Español
Italiano
Polski
Türkçe
Русский
Português
Bahasa Indonesia
Bahasa Melayu
ภาษาไทย
Tiếng Việt
日本語
한국어
繁體中文
首页 股票筛选器 外汇信号搜索器 加密货币信号搜索器 财经日历 如何运作 图表功能 网站规则 版主 网站 & 经纪商解决方案 插件 图表库 功能请求 博客 & 新闻 常见问题 帮助 & 维基 Twitter
个人资料 个人资料设置 账号和账单 我的支持标签 联系支持 已发表观点 粉丝 正在关注 私人消息 聊天 退出