Thanks!

Thank you market! We finally have gotten some major downside action and vol expansion. Hopefully, the market regains its health and we get some cyclical market action. I am still staying very short as we still have a good amount room to move down. What is really interesting that this action happened on a Friday. It was a re-balancing day, but Fridays are usually very slow days, and the market fell apart in the last few hours of trading only. I continue to be short VXX puts, and I just got short some FAZ puts. I think a good long might be WLT as it's short puts have a high return on capital, and the stock is fairly cheap compared to implied vol. I would be careful with short puts as it looks like the down move is getting respect. Another long is bonds. Bonds seem to have capitulated, and they seem very cheap for a short-term play. However, overtime Bonds have a lot of room to go down because interest rates have a lot of room to go up, a lot. As for something I don't usually do I sold the FXE-FXY pair just to keep myself engaged. FXY has good pot odds to the upside, and FXE possibly could go a little lower even if it may have a lot of upside. I am skewed the pair to bullishness in FXY because of how over sold FXY is.