From a friend that does charts and such. I am with the BULLs. No more than normal corrections. Like many have said on this thread, 10% correction would be health for market. Just my two cents worth. HAWK.
Sad, you will never learn. We are in the middle of a once in a life time BULL market and you are missing it. Sad, very sad. RDK
I was the single worst article I have ever read in my entire life! Grammar and spelling were worst than a 3 year old!
wait until no one is talking about it. my guess s&p 1880 to 1900 range. Problem with SPXU (and any leveraging) is you have to be right immediately. Timing a top is low odds so risky to say the least. Fortunes have been lost on SPXU and TVIX timing the correction. I've only delved a little and lost 50K.
Try looking at SPY.
Also - where these things close on the previous day. It's not always in step.
look at the charge and the number of reverse splits. spxu was never 250 or even higher.
it keeps reverse splitting.
look at FAZ and FAS. same thing.
if you get a major bear market then yes daily hold can work but will not match SPY 100%.. you'll still lose a little. but the market keeps going up. can only cherry pick intraday holds for the moment and sometimes a multiday hold.
I'm sure this is TL;DR, but I've learned a bunch of good things from reading this board so I thought I'd ask.
Respect to RDK and all the other participants that have educated on contango and more generally, why this is not something to hold.
Anyway, I took a position in SPXU in early 2013 as an inexpensive and highly-levered hedge against "catastrophic market meltdown." I think it was motivated by Cyprus.*
Question: Will SPXU perform as expected if the the S&P500 does have a period of consistent and significant decline? Or should I stop being clueless and realize SPXU is just for intra-day or day-trading and insurance; and that it will only keep declining based on its chart since inception? Or is it still reasonable to hold now that the position has fallen into the realm of play money, if one believes that there's some positive probability of a significant correction or meltdown?
*of all things... Cyprus. Having lived through '07-09, I think I get twitchy when I hear about ATMs being depleted and talk of EU collapse. Shockingly, Cyprus and it's GDP of $26B is long forgotten [joke]. I think the first takeaway is not to watch CNBC all day when you're home-bound for any period of time.
Thanks in advance for any thoughts.
I will never use SPXU again for a SHORT position! Look at the Year to date:
The market is banging our eyes out, and now so is this scam. Tired of this stock market theft!
Sentiment: Strong Sell
And we get a new 52 week low within 45 minutes of my post. Maybe a pullback in the SnP next week and then off to the races. UPRO is still the bet. RDK.