Major Warning about VIX Futures ETF

Posted by Wayne Duggan, Benzinga

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According to Tom McClellan, the number of shares outstanding in the iPath S&P 500 VIX Short Term Futures TM ETN VXX 0.31% has been an excellent leading indicator for the S&P 500 lately, and the most recent numbers are extremely bearish.

“VIX futures ETF extremely popular right now. Can this possibly end well?” McClellan tweeted on Tuesday along with a chart showing the inverse correlation between the S&P 500 and the number of outstanding VXX shares in recent years… CLICK HERE to see the chart

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