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