The TVIX (2x short-term VIX ETN) swing trade idea has just hit the final price target, T3 at 79.80, for a 65% total profit (19.5% – 26% beta-adjusted gain). As this was the final official target for the trade, TVIX and all previous posts associated with this trade will now be moved to the Completed Trades archives for future reference.

TVIX daily 2 Feb 25th

TVIX daily 2 Feb 25th

While the possibility of a melt-down type drop in the stock market is always a very real possibility when the stock market makes a sharp drop following an extended period of excessive bullishness, just as likely (if not more, IMO) is the potential for a sharp snapback rally that could cause a large & swift drop in TVIX. For those that would prefer to stay long TVIX for the possibility of more impulsive selling in the stock market & additional gains in TVIX, trailing up stops is always an option to allow a trade to run although keep in mind that any sharp reversal & rally in the stock futures overnight that leads to a large opening gap higher in the stock market would result in a large gap down in TVIX that has the potential to bypass any well-placed stop-loss orders.

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