The obvious trade was NOT obvious on UVXY

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On my last post about UVXY I noted the distinct "trade of the week" theme. The idea that volatility would expand seemed to be obvious to everyone thus a trade on UVXY long seemed to be the play. Opportunity is rarely so obvious and that was why I suggested caution.

The Trump tweet of last week probably got a lot of folks in the trade excited to see profit and be validated but it was short lived. In fact, in only served to bring UVXY to a technical level; the 50% retracement of the range it has been in for the last few weeks.

Now things are not going well for the trade. I hate to see traders lose money but I hope they learn...