Continuing empirical research of all Bullish Sentiment Anomaly (BSA) occurrences since 2010 has resulted in the Bull Vix’s signals to trade VIX related securities being tweaked to almost perfection. The cumulative net gain for the algorithm’s 27 signals, less than three per year from 2010 to 2020, was 443%.
A total of 20 of the Bull Vix’s 27 signals were winners for a success ratio of 74%. The average gain per winning signal was 23.6%. The average loss per a losing signal was 4.3%.
The Bull Vix’s signals for the April 15 to May 20, 2010 trading period encompassed the infamous May 6, 2010 Flash Crash. From May 5th to May 6th the S&P 500 declined by 9.4% on no news. The gain for the signals during the 5-week period was 74.1%.
The Bull Vix’s signals are ideal for call options which trade the VIX for three reasons:
- Average time horizons of 5-weeks after a new BSA has occurred.
- Signals have a high success ratio.
- Average 23%+ gain for shares translates into potential 100% to 1,000% gains from call options.
Bull Vix’s signals are ideal for both the most aggressive and most defensive investor. The Bull Vix’s signals to trade call options provide aggressive traders with opportunities for 1,000% gains within a month or two. A defensive investor can be in cash or bonds for an average of 80% of a year and still significantly outperform the S&P 500.
The VIX and the securities which mimic the index, including the VXX. UVXY, VIXY are extremely volatile. Therefore, knowing when to exit the shares is as important as knowing when to purchase the shares. For this reason, the Bull Vix is highly recommended for the maximization of profits and minimization of losses.
The Bull Vix is a seasonal algorithm that only operates for the 5-week periods after the occurrence of a Bullish Sentiment Anomaly (BSA). For this reason, Bull Vix charges a one-time per BSA occurrence subscription fee of $49 for alerts to trade the UVXY and VXX shares and $499 for alerts to trade call options. To subscribe go to www.bullvix.com.
Due to there being a limited amount that can be invested into VIX related securities and especially call options there are and will continue to be a limited number of subscriptions available. Therefore, all who subscribe to trade November 2020 BSA occurrence are grandfathered in and will have a first right of refusal to subscribe to the next Bullish Sentiment Anomaly (BSA) when it occurs which likely be after 2021.
For more information on the Bull Vix algorithm and Bullish Sentiment Anomaly (BSA) go to www.BullVix.com