Posts tagged Long
Why Shorting SDS is in my opininion the greatest long term strategy for the average investor
Nov 8th
IF you look at the chart located HERE, you will see that over time, SDS does worse than its non leveraged counterpart SH.
This is caused by the Constant Leverage Trap, a problem with double leverage that causes below 200% returns.
The solution to the issue, and the way to achieve an over 200% return, In periods of volitility.
If you short this, or any of the leveraged ETF funds listed below, you may be able to better use ETF’S to maximize your profit
Short & UltraShort MarketCap ETFs:
| ETF Name | Ticker | Benchmark Index |
|---|---|---|
| Short QQQ | PSQ | Nasdaq-100 |
| Short Dow 30 | DOG | DJIA |
| Short S&P 500 | SH | S&P 500 |
| Short MidCap400 | MYY | S&P MidCap 400 |
| Short SmallCap600 | SBB | S&P SmallCap 600 |
| Short Russell2000 | RWM | Russell 2000 |
| UltraShort QQQ | QID | Nasdaq-100 |
| UltraShort Dow 30 | DXD | DJIA |
| UltraShort S&P 500 | SDS | S&P 500 |
| UltraShort MidCap400 | MZZ | S&P MidCap 400 |
| UltraShort SmallCap600 | SDD | S&P SmallCap 600 |
| UltraShort Russell2000 | TWM | Russell 2000 |
UltraShort Style:
| ETF Name | Ticker | Benchmark Index |
|---|---|---|
| UltraShort Russell1000 Value | SJF | Russell 1000 Value |
| UltraShort Russell1000 Growth | SFK | Russell 1000 Growth |
| UltraShort Russell MidCap Value | SJL | Russell MidCap Value |
| UltraShort Russell MidCap Growth | SDK | Russell MidCap Growth |
| UltraShort Russell2000 Value | SJH | Russell 2000 Value |
| UltraShort Russell2000 Growth | SKK | Russell 2000 Growth |
UltraShort Sector:
| ETF Name | Ticker | Benchmark Index |
|---|---|---|
| UltraShort Basic Materials | SMN | Dow Jones U.S. Basic Materials |
| UltraShort Consumer Goods | SZK | Dow Jones U.S. Consumer Goods |
| UltraShort Consumer Services | SCC | Dow Jones U.S. Consumer Services |
| UltraShort Financials | SKF | Dow Jones U.S. Financials |
| UltraShort Health Care | RXD | Dow Jones U.S. Health Care |
| UltraShort Industrials | SIJ | Dow Jones U.S. Industrials |
| UltraShort Real Estate | SRS | Dow Jones U.S. Real Estate |
| UltraShort Semiconductors | SSG | Dow Jones U.S. Semiconductors |
| UltraShort Oil & Gas | DUG | Dow Jones U.S. Oil & Gas |
| UltraShort Technology | REW | Dow Jones U.S. Technology |
| UltraShort Utilities | SDP | Dow Jones U.S. Utilities |
Short & UltraShort International:
| ETF Name | Ticker | Benchmark Index |
|---|---|---|
| Short MSCI Emerging Markets | EUM | MSCI Emerging Markets Index |
| Short MSCI EAFE | EFZ | MSCI EAFE Index |
| UltraShort MSCI EAFE | EFU | MSCI EAFE Index |
| UltraShort MSCI Emerging Markets | EEV | MSCI Emerging Markets index |
| UltraShort MSCI Japan | EWV | MSCI Japan Index |
| UltraShort FTSE/Xinhua China 25 | FXP | FTSE/Xinhua China 25 Index |
Now I included the regular short ETFs because I wanted to make a point. **The following Idea is a derivative of something I am trying to start a fund based upon** You can go 100% pro the s&p, dow, nasdaq.. etc. and get a better than 100% return against the index. Now some will argue that the Double Leverage trap dosent exist but I believe that it is an effective way to game this market.
My reccomendation for this week is to wait until tuesday to go long. I will Post another brief on monday night.
Take the 50% gain,or why i would be long UltraShort MSCI Emerging Mrkts ProShares (EEV)
Oct 30th
So, id like to thank all of my readers for their responses, I appreciate the emails. (use the contact me link above)
That being said, I stand by my claim, you SHOULD NOT BE SHORT THIS STOCK ANYMORE!
I am on full confidence saying that you should be going long this stock at the first oppourtunity.
I think we have peaked.
I think we are due for a nice turnaround. As such i have a small portfolio for you to use with your new gains
LONG Short
EEV UYG
SDS SSO (Yes i realize sds is right next to this, this is to negate the constant leverage trap)
DUG
The Long and Short of it: The 10 x Oil = Gold trade.
Aug 12th
In recent days, my trade has been:
If Golds results is not 10x oils results, you may want to play the equlization (on a percentage basis for the year). This is based on my opinion that it is more along the lines of a currency devaluation based selloff, with alittle bit of margin calls added in there for good measure. I personally think that eventually, this will all lead to an actualization of 10 x Oil’s price = Golds price As such, i think an appropriate valuation of oil would be 82.14 in this economy as of writing this. As such, I am long the airlines till 2:30, when the market does this whole, im scared about Russia killing Georgia thing.
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