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Hi, I’m interested with this strategy, https://collective2.com/details/100722273
Can any his subscribers share your experience and how long have you been following this strategy. I appreciate your input. Is there any thing for a new comer should be aware?Thanks
I been a sub almost 2 months. I got in the week brexit happened. He does about 5 to 10 Trades per week. Diverse between vix etf and selling options. Most trades are about 10-15% of my account scaling. Biggest draw down i had was the day after brexit and it was around 15%
So far so good. He was nice enough to answer my option questions on assignment. There is not a lot more to say about the strategy. The concept seems pretty simple, but i dont have the timing like he does. Im up 50% since i joined, i dont auto trade. I just follow his email alerts and enter trades manually. I can say is definitely not a low risk strategy.
And its a full tos account, so when i loss $500 on a trade this week i know he loss 6k. So in a way its more comforting than none tos
Hi Femy, I’m the developer of the strategy. Its not for a beginner or rookie traders. Also not everyone has access to short UVXY/TVIX/VXX. and make sure you are comfortable writing options. I have seen scaling could be an issue with this strategy for some new subs. You want to have atleast 20k (5% scaling) assigned to this strategy.
Those would be the most common issue i have seen with my current new subscribers. If you have any direct questions please feel free to PM me or direct them here.
I’ve been a sub since his strategy was first published and have to say that his strategy is the best on C2. While I’ve ultimately stopped trading with every other high flying strategy available, I keep trading with Vix because (a) he doesn’t use the same tricks others use to bolster returns, (b) he delivers exceptional risk-adjusted returns and, most importantly, © he trades his own account which has grown to be the highest on C2.
The last point is key since it’s easy enough to create unbelievable gains when the system trades paper, but the fact that he trades real cash means the system actually works over a substantial period of time and that he has skin in the game, so if you lose 10%, he’ll lose 10%.
The only drawback is that the system is not for rookies, as he mentioned above. You have to be comfortable with writing naked calls and puts and shorting highly volatile instruments that can go against you significantly before turning a profit. Nonetheless, he keeps drawdowns low and gains consistent and was able to navigate extremely tumultuous times (e.g., Brexit) profitably – more than I can say for most other strategies.
Overall, highly recommended.
Apparently you still looking for high flyers systems because this system is still a high flyer . I must emphasise how risky it is to sell naked options .
GL
I appreciate for your response especially from real subscribers and also the developer. I am familiar with VIX and regular options but not exotic options such as naked calls and puts. One thing that I really like from your strategy, you have consistent profit , the proportion between risk and reward are make sense (acceptable) and you do not use martingale methods.
There is something that bothering me, especially transaction 06/16/16 - 08/10 UVXY. I saw, there were plenty transactions for this and I saw the developer managed this transactions very well, my questions, I do not think it will be wise for a new subscriber to enter in the middle that transactions and thats transactions took almost 2 months. I am just wondering, is this typically you keep open trade for UVXY for long period?
I typically do not want enter a new position in the middle of transactions.
Another questions, I saw in the statistic, the min capital requirement is US $100k, is this generate automatically from C2? but you mentioned, a new subscriber should have at least 20k (for 5% scale ). I would like to know what is a good proportion between capital and also scaling in your program,
I am really appreciate your thought
Professional strategy for experienced traders.
If you are novice- try other strategy of the same developer: simple vix, where you will be trading volatility stocks.
If you still choose to trade that strategy, which to my humble opinion is one of the best on entire c2 community, you have to do a lot of homework as a novice.
The rewards however can be enormous. Options are the safest instruments if you take your greed and mitigate your risk. However they can also be your nightmare.
Look at at developer as your spotter. He does the research and picks up the trades. You however pull the trigger. So do it based on your own comfort, scale and experience.
You will sometimes be assigned, which is a part of strategy. So keep enough margin and get ready to sit on negative P/L for a while. In the long run you will be fine.
Just remember, your guide is processional with 16 years of trading experience. Can’t get better than that.
Good luck and welcome on board.
There were and will be plenty of opportunities to short volatility. So, if you missed Uvxy short trade, you can wait till another alert or dm developer if you are eager to enter (not the best option, as the developers timing is spot on).
The reason uvxy short took 2 months is because is was just profitable and there was no reason to cover.
Scaling : you can start with 20K, but depending on your Broker you will need machine to get profit. I would recommend. 50K to start. GL
Hi Andrew, What scale do you use for $50 k for this strategy? Thx
One thing I don’t do when it comes to trading vix is betting everything in 1 shot. I like to accumulate shares, you might see during June - August, we accumulated more shares when shorting vix still favorable, and we trim gains as we profit. I always have trailing stop set, so last week we had a minor vix spike. Trailing stop got hit, we are out completely. Metrics was neutral for us for couple days, then we re-enter back in when metrics favor short vix again.
In regarding when to enter a trade, there is no perfect time. (Prob when vix is above 50 if you wish to wait for It). You can always start reading with us on Monday or Tuesday, usually that’s when we put on most new trades. Sometimes we do run into issue of selling covered calls or hedge trades with new subs. Example today we had a minor issue for the new subscribers. They were not holding a position we got last week, today we were trying to selling covered call on it. If you joined this week, it end up to be a naked call Instead of covered call. Which I messaged everyone today so they can avoid the trade if they just joined or manually sold the stock.
If you are afraid of writing options, just don’t check the option box on autotrade.
In regarding the 100k minimum, that’s something c2 put, not something I set. I would say currently 20k is prob the minimum with 5% scaling.
I hope my answers helped
50k on autotrade I would recommend 16% scaling. Anything less c2 will round down your shares.
Thank you, I think I should be fine. with the capital. I think my next steps, I need to ask IB if they can allow me to have an access to short UVXY/TVIX/VXX. This forum is very helpful
You can start with 5-7%. You can always add more of the same trade later if your margin allows you.
I will leave my bias opinion here also. Because I have been a long time follower on his twitter feed. I end up following him here and discovered c2. He has been giving free VIX advise and trade entries on twitter for years, until he joined c2 earlier this year. #sad no more free trades.
I cant really say anything bad about the strategy, because he had helped me made so much $ before and after c2. But my only honest criticism due to my selfishness is that this strategy is getting too BIG and I think it has too many followers already. Due to his subscribers, at times it’s causing slippage and is eating into my gains. By the time I received my email alert and get ready to execute the trade; the spread on these options already drained 20-50% of the premium. I ended up waiting for the bids to come back up rest of the day or just had to avoid that trade completely. 8-(
best of luck!
Hi Choco, in my understanding, you subscribe his strategy but you are not autotrade.
I am just wondering, since you have been following him for a while and also you mentioned, he help you for making profit, why dont you autotrade so you don’t have to be hassle for missing trade and get expensive price. I verified from his trading activities, there was slippage for his subscribers but the slippage was not significant. I would invest for autotrade services because thats a marginal cost.
maybe I’m just a control freak or creature of habit. I’m used to seeing he’s alerts on Twitter then evaluate if I should follow or not. Also I trade other stocks and etf on the same account, having auto trade will screw up my margin from time to time.
In regarding slippage, sometime I have seen the spread got widen so fast. He got .70 on he’s trade, and the last autotrader sub got 0.30. So it almost like luck. If you are lucky you got filled at .65, if not you’re last in line you got .30. And That’s not ok with me. Usually if you wait 30 min to an hour, the bid will come back up to around .45-.55 I just manually enter the trade. Another sub on here mentioned earlier, I tend to use he’s alecrt like a guidance/recommendation, then I decide how much to follow and when to follow. Since that’s what is was like before he migrated to c2. Sometimes I have waited and got a better price than he did. He tend to trade much bigger lots on there than I do, plus the herd from c2. Because of that reason, Most option’s liquidity got drained instantly.
This doesnt make sense , the developer is responsible for all the entries and exits you cant advise subscribers to cherry pick what signals they want to follow and what signals they wont .
I recall a developer here in c2 was asking his subscribers to follow him when his equity curve is above the moving average and to reverse his signals when his system equity is heading down below the moving average ! This is ridiculous , every time i read similar stuff i know the developer is trying to not be held accountable for his future performance unless it was good then he will take credit for it .
Complete misinformation , options is one of the riskiest assets on earth , i mean shorting options , your account will most likely blow up in one of those trades selling puts !
Another issue here is the martingale , many claimed that the developer doesn’t use martingale strategy which is wrong , if you look closely you will see he used hidden martingale while scaling in scaling out of his trades check screenshot below . He shorted 300 @ 42.50 two hours later he shorted 1000 @ 44.23 . Thats martingale period . Another example using martingale while shorting puts ! He shorted 25 @ 0.50 then added another 10 @ 0.80 , using martingale while shorting puts what could be riskier ?!
Will add last point here is that he made 300K in profits , 41% of these profits came from a single trade around brexit which contained some martingale practices .
GL
I am also wondering what exactly happened here ? Check the trade details and the time print …
you got me, its definitely just another martingale strategy.
Hello VixTrader,
Would you be willing to reveal your name in the Autotrade Data - Real Brokerage Fills so we can know which trades you are taking and which ones you are omitting.
BTW, I think C2 should make this mandatory because otherwise certain TOS system could give a very false sense of security.
Karl
