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CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

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.

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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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