To everyone currently experiencing FOMO because of the rally! Here’s a small deep dive and an idea!
A large portion of professional investors was truly surprised by this strong rally, and shorts had to be covered. Hedging strategies no longer served their purpose and were also unwound. All of this led to us achieving returns of 10% or more within 10 days...
Now it must be said that the rally is losing momentum, and we are seeing strong volume in VIX index contracts. On April 14, there were 3,684,316 call contracts (x100) and 1,080,810 put contracts (x100). This corresponds to a put-call ratio of 0.29!!! — a level last seen on January 18, 2026...
As can be seen in the second chart, the VIX moves inversely to the S&P 500 and therefore offers a good hedge against beta (market risk). It could be interesting as a speculative position to hedge a portfolio or simply to profit from a rising VIX.
Of course, this is not financial advice — but perhaps some traders/options traders understand what I mean.