Only 1 week until the Brexit vote. How are you playing it?

Low Salubrity Thug · Jun 15, 2016

With the biggest scheduled market event for years now only 7 days away, I'm curious how people are positioned (or will be positioning themselves) to play the Brexit vote.

Personally, I bought an FXB JUL 1.30/1.50 long strangle 4 weeks ago.

Looking at the insane IV this morning, I'm now looking to play a volatility crush.

Martinghoul · Jun 15, 2016

I plan to be light to flat into the event, in hopes of getting involved in some action in the aftermath.

1245 · Jun 15, 2016

Short ES strangles, long OG Jul 1255 puts. Very small position.

f2calv · Jun 15, 2016

For a brexit I will be looking to buy September otm gbpusd calls and otm eurgbp puts in anticipation of fading any initial overreaction/spike.

For a remain I will long the FTSE 100 and SVXY.

Zestilio · Jun 15, 2016

Sell everything even approximately related to GB and stay away from it for a while

radex78 · Jun 15, 2016

Seem many trader talk about brexit, maybe this will making gbp and euro will high volatile market, certain broker they have schedule to increasing margin requirement and spread fee until 5 times level from normal condition, I don't know what impact from this event later but maybe gbp will down

1245 · Jun 15, 2016

I think Gold is a little crowded right now. I think it will go higher later in the year, but everyone that needed to own it before next week is in already, IMO.

lawrence-lugar · Jun 15, 2016

Business as usual. -- don't get excited about one-off events like these (or even quarterly reports). emotions and ambiguity kills in trading.

Have a solid, steady...boring...routine or way of trading day in, day out....that you like or are comfortable with.

Low Salubrity Thug · Jun 16, 2016

lawrence-lugar said:
Business as usual. -- don't get excited about one-off events like these (or even quarterly reports). emotions and ambiguity kills in trading.
Have a solid, steady...boring...routine or way of trading day in, day out....that you like or are comfortable with.

Respectfully, I must disagree. Whilst any professional trader makes their bread and butter from systematic trading, opportunities such as this are rare and are there to be exploited. It is the overblown emotional element of this Brexit vote that makes it such an attractive play.

Any event loaded with this much hype makes attractive pickings to those with level heads.

jj90 · Jun 16, 2016

Short GBP/JPY. Yen exploding tonight. Up on marks. Main portfolio is long ES hedged with puts. Small long TLT as well. Risk off dominating here tonight on yen/gold/bond/vol.