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BETAPRO SP500 VIX ST FTRS 2X DLY BULL T.HVU



TSX:HVU - Post by User

Comment by relativenewby1on Dec 09, 2015 12:17pm
129 Views
Post# 24369332

RE:RE:RE:BetaPro S&P 500 VIX Short-Term Futures™ Bull+ ETF

RE:RE:RE:BetaPro S&P 500 VIX Short-Term Futures™ Bull+ ETF
Morning smartfinish

You're correct if this was only one contract would expect double either way.

What I found useful to help figure this out is the explanation of contango and backwardation.

https://tradinggods.net/what-is-vix/contango-and-backwardation/

The problem with these reverse ETF's is the odds are somewhat stacked against you for buying high/selling low as the normal action.

Knowing this, can still make money but have to be fast on the sell when a gain is there and be careful buying at the right price.

When learning about how these work a couple years ago got my fingers burnt a couple times but now have a strategy that seems to be working. Hold no more than a couple days tops and only buy when VIX is in the 15-16 range and setting stops of 8-10% gains.

Thats my 2 cents - best of luck.
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