Thursday, August 2, 2012

Looking for a position in VXX / UVXY

Here's what I'm looking at in VXX /UVXY (both are VIX short term futures and move opposite the market, UVXY is leveraged).

 VXX 1 min negative on the open, but the current position is leading positive, I'm thinking we may get some more shop, but whatever we get, I'm looking for this chart to strengthen more and start to migrate through the longer timeframes until the 5 min chart below.

This 5 min chart has a minor relative negative divergence that has basically held VXX in a consolidation pattern, I want to see this chart start to lead positive, that's when I'll feel comfortable entering additional positions in either VXX or UVXY.

No comments: