I lost a lot with SKF (bought few hundreds @ 218..:-( and sold them at low 180's)
Now I am into SKF and bought with all my money left and could not hold long and now I have just 200 left. I have been reading the FAZ message board and some messages were brutal in passing the message and this resulted me to sell off the stocks today:-(
Experts..pls suggest how long can I hold FAZ?
the financials were oversold and apparently they are now overbought. the market is not reacting well to the administration and I would expect the financials to continue to sell off unless of course the up-tick rule is reinstated or M2M is modified then the financials will get a solid bounce.
You CAN'T hold FAZ.
It's a horrible long-term investment - as are all triples. Something called decay (reverse compounding) will eat this thing down to zero eventually. Just look at this chart which shows that both FAS (the financial bull) and FAZ (the financial bear) are down 60% to 80% in the last few months:
The only way to make money on this is to get in and out in a few days (remember this parallels triple the DAILY inverse - not the long term performance of the WIL Financial index)....or to write call options when it's above 40, or put options when it's below 35.
My two cents worth, but I tell ya, all the talk of it going to $200 a share - AIN'T gonna happen - no matter how bad the market is.