$XIV – swing trading the 5-day average

Just a simple notion for XIV – following the blue line for swing, day-trades and scalps…

XIV is an inverse VIX based ETF that goes up when the VIX goes down, and down when the VIX goes up.  Especially easy to trade long as the market rises and volatility decreases. Its opposite is VXX or the wild and crazy leveraged UVXY.

See the blue vertical lines on the chart below for examples of entries along the five-day exponential average.

And for exits, the idea is to take frequent profits because XIV swings and snaps like a pennant in the wind.

This is just for entertainment and education purposes and not to be construed as actual trading advice.

(click on the chart for a larger image)