A Conservative Way to Profit on The Downside | Page 2 of 2 | ETF Trends

“Both the index and the bear fund are again approaching a cross at their 2018 starting prices,” according to Direxion. “Bear in mind that CBOE’s volatility index is still about where it was through October and November, 2018, which coincided with some of the market’s biggest down days of the year. As in previous months with heightened volatility, it might not be entirely odd to see similar dramatic volatility in the months to come, as buyers and sellers fight it out as to whether to dig further out of the 2018 hole.”

SPDN may offer traders some opportunities over the near-term because there are still issues that could vex long investors.

“The point is, the market isn’t out of the woods yet. Lagging signals like economic data and corporate data might not be showing the effects of all of these events, but it’s hard to believe the bill won’t come soon,” said Direxion.

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