Posts tagged SDS
I shorted SDS at these levels and so can you!
Nov 19th
I am expecting a snapback rally sometime this week, I believe that as we are at-near closing lows, this may be the best chance you could ever get to go long the market.
I would like to caution that this is a very long term play (years) and also a very short term play (days).
The only ways to be able to get guarenteed returns in this market is to buy United states guarenteed goverment guarenteed securities).
More to come at closing bell, im just informing you all that this may be the time.
EDIT: I am cheering this stock up today, even though i am short, as when we get a 10% rally tommrow, the stock will go down to the 90s
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.
Chart of the day, pick of the day, UltraShort S&P500 ProShares (SDS)
Oct 30th
SDS is once again testing its recent range low, as such, I am reccomending it as a BUY with a sell order waiting for it at 108.49
I will also restate that it is my belief that the market is rangebound for the moment, as such, I am also reccomending taking some of the gains from your long positions and waiting for a better price to occur.
Remember, dont trade with what you cant afford to lose.
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