Jeff 9:31 am on Tuesday, February 27, 2018
Tags: Fuzzy ( 414 ), pietrades ( 240 ), VXXGame ( 769 )

Bad news for being long SVXY

Bad news for those of us holding and hoping with SVXY
#VXXGame Starting tomorrow, $SVXY will be -0.5x and $UVXY will be +1.5x

http://www.tradingvolatility.net/2018/02/svxy-and-uvxy-to-be-re-purposed-feb-28.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+TradingVolatility+%28Trading+Volatility%29

#fuzzy, #pietrades

Ramie 9:37 am on Tuesday, February 27, 2018

Well that sucks. It was a long haul to getting back to even before they did this. Now it’s probably futile. Thinking of using long puts in VXX to offset losses here. It ain’t gonna happen with SVXY and/or its derivatives. At least anytime soon.
jsd501 9:38 am on Tuesday, February 27, 2018

Will that gives us less risk but take longer to get back to $50 per share?
- Jeff 9:40 am on Tuesday, February 27, 2018
  
  Yes. This would greatly reduce chance of SVXY going to zero overnight, but make the move higher half as fast. It will also reduce spike highs in UVXY and thus lower premium for OTM calls.
Jeff 9:39 am on Tuesday, February 27, 2018

Related story, although I haven’t wrapped my head around it fully. It could mean VMAX and VMIN could be reasonable alternatives, if their options volume picks up:

http://www.tradingvolatility.net/2018/02/new-pair-of-volatility-funds-to-hit.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+TradingVolatility+%28Trading+Volatility%29
hcgdavis 10:53 am on Tuesday, February 27, 2018

Thanks for posting but that freakin sucks. I expected it to take about 1-2 years to get back to the 50-100 range, but that would now lengthen out another 2-4 years.

At least I know what to do now. Sell shares on the next SVXY bounce and move the money to other options.

With #pietrades can probably get back to even in 1-2 years and I can live with that or use some VVX put exposure.
- hcgdavis 10:55 am on Tuesday, February 27, 2018
  
  Or take what is leftover and #fuzzy trade, they usually work out to 100% annualized returns.
- Jeff 11:04 am on Tuesday, February 27, 2018
  
  I’m thinking of switching to a different symbol. No rush to figure it out, but I’ll be looking at candidates.
  - hcgdavis 11:20 am on Tuesday, February 27, 2018
    
    Yeah it will interesting to see how the others trade. As I mentioned I know another service is going with another ticker but would not tell me which one.
fuzzballl 11:27 am on Tuesday, February 27, 2018

Was in the air all day but received an email from my brother earlier. Obviously the options i just bought are showing a loss now but I’m still going to hold them and sell against them since they’re all the way out in 2020. No sense closing now….that will be the extent of my SVXY exposure for the time being. I may start applying any new winners to SVXY losses to get back to even. Then resume the accumulation process in my accounts
thomberg1201 4:23 pm on Tuesday, February 27, 2018

Have to figure out the short UVXY calls, grrr