VXX ran up from $17 on January 16th to $41 on March 15th. A Fibonacci 61.8% retracement of that move is at about $26. This morning VXX touched $26.71 and has been hovering around that level for two hours. On the chart below, I've highlighted a Fibonacci reversal window for the purposes of identifying a possible reversal back up toward yesterday's high of $41. A long shot? You betcha, but a breakout now above about $30 would create a compelling bet that VXX is going back up into the $30's immediately, and a new high into the $40's in the next few weeks. A tight stop on the trade would be a VXX close below $25 and/or a loose stop below $22.
