[UVXY] update

In the backlink I piled into UVXY at yesterday's close and despite bumping my stops a couple times today I held them into the close at which time was stopped out by a 2% trailing stop since I do not have time to watch this closely.  Trailing stops are a great way to trade the peaks of 3rd waves.

Not only did I save cash by bailing on JNUG and RUSL yesterday, today's UVXY run was worth more than 25% to me.  I went to the sidelines in case wave 4 takes it down to $80 tomorrow but I fully expect one more 20% run after that to kiss $100.



It could in fact go much higher.  Per below, the primary model for the DJIA is that it is tracing out a 5th wave down right now.  But until 5 down are confirm we really have to take it day by day because of the massive percentage swings happening in these volatile (AKA Ponzi) markets.  The ideal model would look something like the cyan but if 5 is the same length as 1 it could also look per the red path.



So I sold UVXY and bought a 1/3 position on JNUG in the extended trade for 8.03.  I expect it could go down to as low as $7.80 tomorrow and if so I will go in the full position.   RUSL will also be a trading buy at $13.20-ish.  JNUG action today looks purely corrective as I will show in a different post.  RUSL is harder to read but the next bounce should take it to at least $15if not higher.