Wow....although we haven't had time to post, our clients know the incredible drama we went through....here is the update:
TVIX and volatility in general continued to defy all logic. We talked about "The Fix is In" and "The Facebook IPO" in regards to "painting the tape". TVIX continued to trade down and the market continued in a straight up trajectory. Our losses continued to mount. It was very difficult to hold. Well....TVIX broke 14 and we had to decide to bail with a huge loss or double up on the entire bet. It just didn't make sense. We thought long and hard and decided to double-up the bet again at 14. So, now we are sitting "All in" with the entire financial media against us. The market is going to the moon. Volatility is an exstinct animal an we are loaded to the gills with Volatility!
Scary stuff to say the least. The technicals confirmed a potential bottom and one of our readers- "Schmitty" sent us texts saying it looks like TVIX had bottomed. We thought he was on to something. We made the bet.
The next 3 days TVIX went from 13.86 to 21! We bailed at 20 and took a small profit. We escaped!
