February 9, 2018

Short Volatility trading

"My impression is that the people that were bullish before this week's liquidity event are still bullish. Many hold to the view that the unwinding of the short vol trade was a one time event. 

What hasn't been addressed is the extent to which the short vol trade contributed to  the bull market over the last 2 years or more.

If short vol trade returns that's one thing, but if it doesn't it seems to me it pulls another leg out of the decade old bull market. "


via twitter

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