Posts tagged SSO
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
I firmly belive we have bottomed, or why I am holding SSO
Oct 12th
In my opinion, we found a bottom last friday.
It was textbook, the fall in the open on heavy volume, the high that followed. There is even a cup and handle pattern in there.
I expect the dow to be back above 9500 by the end of the month, so I am going to hold my 2x the s&p results etf, sso.
Also, i have gotten emails asking if you should liquidate like Jim Cramer says. I say, no, that would be the very definition of buying high and selling low.
If you are young, just wait it out.
Your medicine for a broken market: Why I bought SSO today
Jul 29th
First off the good news,
I WAS GRANTED MARGIN
That means I can finally go in and out of stocks like I have always wanted to, and in this volitile market, that is the most valuable thing you can hope for.
The market was set for a turnaround and looking at where oil was going I decided that An investment in the S&P 500 was a good idea.
SSO is a double leveraged etf, so if you apply another 2x layer through margin to it you are getting a BROADLY diversified portfolio, yielding 4x the daily result of the s&p 500. You could also short the market 4x with SDS. Now this may seem like a risky move, but lets consider what could concievably happen in a three day period. Lets say the market moves up 1.3% a day. This would mean that SSO would be yeilding 2.6% a day, with compoundment this would mean that you would have yeilded 8% on a regular portfolio. And 16% on a leveraged 2x portfolio. In otherwords, the market retraces less than 3.9% (Which I believe it will.) and you made 16%. Mind you, the exact opposite could happen, so be careful, and ask an investment advisor before doing anything.
The Tragedy of the Commons
Jun 18th
Everyone has been doing what would probably be the right thing for themselves in this market, unfortunately, this keeps money out of the market causing further drops and higher voitility, whell I hate to break this but
This is the best time to be getting into the equity market, there is less of a risk of long term damage, because when this market recovers, no matter what price you bought in at, its going to beat this market by a long run.
Position
Break over, its time to assault the market
Jun 10th
I decided to stay out of the market for the past two days, I just didnt have the time to spend the normal amount of attention to the market that i wanted, and on top of that, have you seen the market?
Sometimes the best trading move you can make is to not trade at all.
However, it is now time to get back in. It is my belief that the market is going to be going up for the next few days, and I intend to take advantage of this
Stocks that I’m going to try be diving into before Friday are:
- (GOOG) – reasoning will be located (here)
- (LEH)- Call it suicide, it probably is
- (CROX)- Because of great information from TheCodyReport
- (SSO)- I believe the S&P will be up 3%+ more by the end of the week, transferring to a 6% gain
- (CC)- It is my belief there will be a news item on CC within the week
Number 1 threat to the market this week: Bears
Why SSO is the most under-rated ETF in the world
May 25th
According to the people over at moneychimp, over the past 20 years the S&P 500 has returned 10.10% a year.
ProShares Ultra S&P500 Trust ETF (the ETF) (SSO) seeks daily investment results, before fees and expenses, that correspond to twice (200%) the daily performance of the S&P 500 Index. That would mean that if this fund had existed over the past 20 years, it would be returning 20% a year, or in other words for every $10,000 you invested in 1987 you would have $383,376 returned by the end of last year. This beats even some of the best fund managers, with very few fees, and thats even without the dividends and that extra .10% included.
I am not saying that SSO should be your entire portfolio, especially if you usually gain more than 20%, all i am saying is that if you are a casual investor without alot of time to look into it, this may be a good long term choice for you.
For example, if it had existed at the time and you could have invested in the ProShares Ultra S&P500 Trust ETF (SSO) , from the S&P500’s lows in late 2002 juxtiposing from the chart
The 70% increase in price over the last 5 1/2 years would be 140 with SSO and that is without divedends. As i said, it is clearly underated.
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