Feb. 26 at 5:08 AM
$UVXY $UVIX the Threat of these short VIX instruments is the triple hit you take, which most people don't account for.
SHorting UVIX and UVXY will easily triple or more in a bad spike.
Then your other stocks also tank during this time, way more than you expect.
On top of it, the brokerage increases the margin requirement.
Even that 5% position size could easily become a margin call.
This is why mostly everyone who were frequent posters on here since 2018 are mostly all gone now.
Then you get the survival bias, the few who were able to mange their risk well enough will act like its easy, and not let newbies know how easy it is to blow your account with these if you are inexperienced, or a gambler, which is many people.
