gb50k

Isolate VXX decay with leveraged SPY funds

81 0 1
When shorting VXX             you often are trying to profit on decay, independent of small price swings. Pairing each shorted VXX             share with 2 shares of SDS             (Short SPY             , leveraged) produces a position that is short on the volatility (short VXX             ) but partially hedged for price movements.

WARNING: a short VXX             position exposes you to VXX             spikes that can result in portfolio destruction, margin calls and the boogie man coming to visit you. Hedging with SDS             will soften the blow somewhat but keep position sizes SMALL - drops of %10-%20 are routine.

Use an RSI (or equivalent) to time entry/exit and position size.
United States
United Kingdom
India
España
France
Italia
Polska
Brasil
Россия
Türkiye
Indonesia
Malaysia
日本
한국
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing Priority Support Ideas Published Followers Following Private Messages Chat Sign Out