So since the VIX is a measure of volatility, does that mean since the market went up today, the futures are therefore saying it will correct (meaning the market will go down within the next 30 days?). I feel like I'm missing something.
the VIX is the fear index per se. it has an inverse relationship usually to market moves. if market goes up up up vix usually goes to the 14 area. if lower. if market goes down down down then it will go to 18 area and to the 22-28 on extremes. That's how I read it. Vix is comprised of I think vix futures in front couple months.
UVXY is my best friend. She's treated me so well going in and out. Today is a back the truck up kind of day for UVXY swings.
Technically, i'd watch for a solid breakout above 20 (buy signal #1) then if it passes the 50 day moving average (buy signal #2).
Just bought BABA Apr 92.5 calls and own MSFT calls at breakeven Any thought on these 2 stocks? Thanks.
In baba. The technical resistance is set at 92. I was waiting to buy based in a trigger on that. Also. The six month low is 83ish. I was also waiting to see if it would hold that area.
My trade is based on filling the gap after earnings. I think the calls were out to Aug close to the money.
I understand the premise of your trade of filling the gap. It would depend on what strike you bought, exp and at what price. Would probably be easier to buy equity and hold given don't have to worry about premium bleed and timing this move. Msft is a slow mover unless has some "event"
That being said on all this I also learned over the years to not take people's opinions on my own trades because they have different strategies. The only way for me to learn wAs to execute any trade I came up with that fit my strategy. Win some lose some.
I bought MSFT Oct 45 call so I have plenty of time. Got burnt on time before so I like to buy with a good amount of time.
