XIV and SVXY: possible liquidation by issuer

Discussion in 'ETFs' started by m22au, Feb 5, 2018.

  1. I wouldnt buy the nav is like 4 dollars
    #41     Feb 5, 2018
  2. S2007S


  3. Max E.

    Max E.

    I wanna write this as a word of warning to people, i damn near blew out today with these moves on the volatility instrument, it started as something where i was going to be willing to take 10k of risk on the VXX short, cause i thought 2700 would hold up on the ES, i cant remember where i started probably like high 39's, 39.80, or something, then i added, and i added, and i added, then when the ES puked, suddenly all these volatility ETF's locked up and i lost the ability to cancel orders and send new onees, Got triple filled, and then I was short 22k shares of VXX at one point thinking i was going to blow out i was trying to punch out but my software wouldnt take those orders either, and thankfully it came all the way back down and i finished down a thousand bucks, but if it had went parabolic to 60 at that point which is what it did afterhours, i would have been on the breadlines looking for work, it was very close to a problem i couldnt fix, point is dont trade size when volatility gets that insane, especially when it appears to be a glitch in the matrix.
    Last edited: Feb 5, 2018
    #43     Feb 5, 2018
    kinggyppo, MoreLeverage and userque like this.
  4. m22au


    I shorted some XIV below $17 in the after hours.

    For me the $4.22 "closing indicative value" on the VelocityShares web site
    is more important than the possibility of liquidation / termination.

    It appears that VelocityShares have covered a lot of their short VIX position, and in doing so, the net assets has declined substantially.

    Assuming the $4.22 value is correct, then I've shorted XIV at more than 3 times the value of the underlying. A liquidation / termination would just be an added bonus.

    #44     Feb 5, 2018
    MoreLeverage likes this.
  5. lindq


    I certainly hope not! It has been my bread-and-butter for 2 years.
    #45     Feb 5, 2018
  6. lindq


    Sorry to read your story. I trade volatility, but at any time VIX hits 25, I am on the sidelines.

    Cash is a position.
    #46     Feb 5, 2018
    Max E. likes this.
  7. JSOP


    And a lot of those who TP'ed too early (myself included) cursing themselves for missing on the massive profit that one dreams about all the time. When those massive profit opps finally present themselves there, we are not there. F***!!!!!!!!!!!!!!
    #47     Feb 5, 2018
  8. S2007S


    I used to trade xiv like crazy back in the day.... haven't in a long time but tomorrow I might see where it goes for a trade. ..
    #48     Feb 5, 2018
  9. lindq


    I'm thinking VXX puts.
    #49     Feb 5, 2018
  10. S2007S


    I'm shorting vxx above 60 tomorrow.....this will drop a quick 50% once there is a relief rally....
    #50     Feb 5, 2018