Three-Way Volatility Swing Basket
Saad Rizvi@saadrizvi
−13.9%
since Oct 1
The idea
I believe volatility itself is the opportunity right now, so this basket leans into the market's fastest movers instead of avoiding them. It splits fairly evenly across high-beta tech, crypto-linked stocks, and biotech names prone to sharp swings, with no single stock dominating. I keep a larger cash cushion than usual, around 15%, so I can add when things sell off hard, and I trim positions that run too hot. I'd rethink this if these groups stopped moving independently and started swinging together as one trade.
What it owns
- These tech stocks move two or three times as much as the market on any given day, so they supply the raw swings this take feeds on. · Tesla, Inc.It swings like a small company despite its size, often moving far more than the broader market on any given day., NVIDIA CorporationIt moves with every shift in AI enthusiasm, producing big, tradeable swings tied to the loudest story in the market., Palantir TechnologiesIt routinely runs far past what the news justifies and falls just as fast, driven by crowd enthusiasm that creates tradeable swings., Advanced Micro DevicesIt swings hard with the chip cycle and keeps the stock jumpy through AI and chip-related announcements that drive fast moves., Super Micro ComputerIt is one of the wildest stocks in AI hardware, capable of double-digit moves in either direction on earnings or order news., AppLovin CorporationIt swings hard on its ad-tech results and amplifies the market's ups and downs instead of trading quietly.30%
- Exchanges, miners, and Bitcoin holders amplify every crypto move, adding a third source of big swings that runs on its own cycle. · Coinbase GlobalIt moves with crypto trading activity, usually harder than Bitcoin itself, since its revenue rises and falls with how much people trade., Strategy Inc.It holds a large pile of Bitcoin bought partly with borrowed money, so it swings harder than Bitcoin in both directions., Robinhood MarketsIt rises and falls with how active individual traders are in both stocks and crypto, so it swings with the market's excitement itself., MARA HoldingsIt is a big Bitcoin miner whose profits swing far more than Bitcoin's price does, amplifying crypto movement through the stock., Riot PlatformsIt is a Bitcoin miner that gives the crypto bucket a second company, so moves in Bitcoin hit the stock two or three times as hard., CleanSpark, Inc.It is the smallest miner in the take, which means the sharpest moves when Bitcoin runs or falls.28%
- Biotech stocks jump or drop hard on trial results and FDA decisions, giving this take volatility that doesn't depend on the broader market. · SPDR S&P Biotech ETFIt holds a spread of small biotechs, so it captures the sector's big swings without betting on one trial or approval., Moderna, Inc.It jumps or drops on every vaccine and pipeline headline, giving frequent, sizable moves tied to news flow., Viking TherapeuticsIt can move dramatically in a single day on obesity drug trial results, making it one of the purest swing stocks tied to binary readouts., CRISPR TherapeuticsIt swings on gene editing progress and sentiment about the whole field, not just its own results or trial outcomes., Sarepta TherapeuticsIt lives and dies on FDA decisions, and each one can move the stock violently in a single day on regulatory outcomes., Recursion PharmaceuticalsIt sits where AI hype meets biotech uncertainty, so it swings on both kinds of news as traders pile in and out on sentiment.27%
- Cash15%