Stockchase Opinions

Richard Croft Credit Suisse VelocityShares Daily 2x VIX Short Term TVIX-Q BUY Nov 04, 2019

A good portfolio hedge? Yes. With this, you're buying the VIX x 2. TVIX is a short-term vehicle. You hedge because you feel the markets are irrational now, expecting the market to move down which spark the volatility, which gives you double the bang for your back. But keep a very close eye on this as you execute it.
$8.440

Stock price when the opinion was issued

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DON'T BUY

This is betting on 2X volatility, but volatility is volatile enough. This is a gamble, not investing. Even if you are correct in terms of the direction of the trade, you can still lose money because of the effect of leveraging and prices being changed every day. These things should only be held for 2-3 days at most.

DON'T BUY

Market Breakdown. SPY with Bollinger bands says if it fails in testing support today it will correct. He believes individual investors should not consider this since it is double leveraged. He would prefer a single inverse to the market.

COMMENT
He always avoids the VIX. But you're probably buying it now at a low point. Volatility is probably returning. Caveat: watch this every day so you can sell it at a day's notice. He's not comfortable using TVIX.