IVL13CB : Should come with a health warning on the packet.

IVL13CB is not something we think is worth the risk to trade, but we are in the minority, with plenty of punters enjoying the frequent market maker led ramps in such instruments.

The recent breakout at 0.72 has 0.87 as its next major barrier, but beware, the last time it hit such levels it fell to 0.49 over the next two week. A breakout above 0.87 will probably see it hit 0.97, maybe 1.00 or so.  We see further resistance at 1.09-1.12 then significantly at 1.25

These warrants are a cancerous type of security, and are far too dangerous in our view. Indeed we think a blind punt on the FX market is a less risky choice. The chance of losing money on these warrants is just too high.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: