Last session of the Trading Club, which we invited our whole Community to, we talked about how to get benefit from a more than predictable increase in volatility, following the referendum that took place yesterday.
In details, we decided to buy VXX ETF shares.
We buy live 100 shares at $14.73 (for a global commission of $0.22), setting a take profit at $17 (to be removed in case of a potential explosion today) and a stop loss at $13.16.
Plus, we decided also to set a purchases strategy, always motivated by a rise in volatility, not only due to Brexit results but also to cover our portfolio during summer. In particular, we have set the purchase of calls on VXX, strike 17 (monthly expiry September), with a cost of $1.90.