Trading the trend: up over 33% year-to-date with 2% risk per trade – short VIX
We would like to let you know that our hypothetical trades have so far gained over 33% year-to-date while risking 2% of capital per trade.
Today we would like to short the volatility index (VIX) with a stop loss at 20.40 and a downside target around 14.50.
(AI Video Summary)
Our profitable trading strategy
In this week's episode of "Trading the trend", Axel Rudolph discusses his successful trading strategy, highlighting a 33% profit gain this year by risking only 2% of capital per trade, thereby emphasising the efficacy of trading the market trends following with minimal risk. He provides updates on a currently profitable short position in soybeans, citing the decision was based on the resumption of a downtrend since last November.
This week's trading opportunity
His focus then shifts to the volatility index (VIX), noting its recent surge due to Middle Eastern tensions but pinpointing a potential reversal signaled by a dark cloud cover pattern. The recommendation is to short the VIX with with a stop loss at 20.40 and a downside target around 14.50. This tactical approach will allow traders to capitalise on observed market trends and volatility indicators.
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