Then I went once step ahead, and tried to rebalance UVXY once a target profit was achieved.
The question is: this cannot be traded live, right? I mean, it can, but I cannot expect to have this kind of return with so simple strategy, can I?. I know I have to pay some additional fee to be shorted, but there's no comparison with the backtested return.
For sure this was not tested in 2007/2008 crisis. I guess in those events UVXY blows up and my leverage position could be much more than 2. Is that the only risk? Because if that's the risk, it could be patched improving the money management.
I don't ignore the 54% drawdown and the high beta, but the long term trend is very clear.
I appreciate your thoughts.