Idea: Buy $VIX calls

Reasoning: $VIX at one year-low, volatility of volatility ($VVIX) is oversold (and we’re counting on mean-reversion), and VXZ is oversold. The VIX/VXV ratio is also oversold (see below). We believe it’s a very low risk/ high reward bet.

Current Price: $11.66

Target Price: $15 in 2-10 days from today

vix-vxv

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