The markets don’t seem to be offering much direction this week. I think we will get a pullback this week but the market may come up before it goes down.

My plan is to bid on a VIX short term ETF (VXX) in the $27.40 range. I think this is a safe spot to buy at. If the market shows us some direction before the order fills, then we’ll adjust accordingly on Tuesday.

VXX should go up abruptly if market volatility increases but it is important not to force the trade because buying in too early could leave me with a price that is above where VXX has been settling and it could settle after I buy. The purpose of this type of investment is that it isn’t going to drop lower very quickly but upside potential is very good.