Today's video is MUST watch as we go over strategies that differ from our normal trading. This is due to the market pullback, trading VIX, pair trading with VXX vs SPXL and end of day with GPRO short and FEYE long.
Key points from video:
- How to trade VIX historically during momentum bursts and when we will reverse short using XIV.
- Inverse relationship with VIX and SPY and how to use VXX extreme volatility instead of an inverse/short ETF.
- Pair trading a short and long with the expectation of a 50% win rate, but big win and small loss no matter which direction market goes.
- JNUG and gold not doing what's expected during market pullback. I may pull out of position.
- Monitoring for dead cat bounce/second thrust down moves versus resumption of uptrend in biotech and momentum stocks.
- Monitoring stocks that have handled the market pullback with relative strength.
- Historic trading range play for IPOs like FIT.
- Position sizing during tough markets.
If you are SERIOUS about trading and not just looking to piggyback trades, WATCH this video.
BIOTECH LIST: (long and short): ANTH,RVNC,RARE,HALO,INSY,GILD,BLUE,HRTX,POZN,MNTA,RDUS,DPLO,EGRX
Current positions: SPXL, VXX, GPRO (short), FEYE, JNUG
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