Suggested for aggressive investors to “BUY VXX” due to the situation in the chart below (see post here) This chart reflected the “BIGGEST SPREAD” this decade between the Nasdaq 100 and the VXN.
Translation…. Too many Bulls at (2)!!!
Game Plan….For those that purchased VXX place a 6% trailing stop on this holding!
Pete…VXX was down today with the Dow up 80… it is now coming back a little bit.
Dollar is closing close to the highs of the day and breaking resistance! Dollar succeeds in the breakout, ZSL and DUG should do pretty well!
TIPs down over 1% today, breaking support. So far high yields are the only bonds not getting run over.
2009 and so far in 2010, has seen some of the biggest fund flows into bonds in history! If the majority is usually wrong, will this become the “Great Unwind???”
VXX is weak today … we kinda sit and wait, right?
TZ…great question and shorting the NDX, using PSQ is a great idea, due to the excess bullish situation. In the long run I don’t feel the VXX is better at all, just felt that the pattern was suggesting a quick and large move down in the Nasdaq and if that was true the VXN would really jump.
Look though how POOR VXX can move, compared to what it could…anyone see what the VIX did today? VIX up 10% and VXN up 16%. TZ this is what I thought we might be able to get out of this situation!
Hope that helps…Appreciate the queston and viewership.
Hey Chris – just curious why VXX as opposed to short Nasdaq given the lack of fear spread? Do you believe VXX is a better play for aggressive investors? Thanks again for all your suggestions.