A lot of fear in bear 2x and 3x etf's this weekend
It feels like this next few weeks could be the captulation of leveraged bear funds as they squueze to ne end to get s@p 1000. faz will hit $3 and srs hits $13 and skf hits $30. if you bought these even 6 weeks ago you'll never see your money
I'm begining to agree there is no option but to sell and keep what little value i have left in FAZ. Watched the price drop from 110 and jumped in at 40, then kept averaging down. I think one problem with being very short is you start to filter news and opinion to just hear bearish news, then you convince yourself you should keep holding. Face the market just doesn't want to go down (sounds like my wife).
In the end, I think me and my FAZ bretheren will be proven correct that there are still major problems in banks and the economy overall, I think we will see 7,000 or less on the Dow again. The problem is the decay will eat us alive while we wait. It may be a long time before the second shoe drops.
I still see oil going up and gulf share prices are rallying on this news. Would be odd to see gas prices drop before summer. Without gas prices dropping I doubt stock prices would drop. Oil prices are predicted to be between $70-80 for this summer so I see further gains this summer.
Remember the good old days of two years ago, when the broad market would decline whenever oil prices increased? I think it's about to happen again. I also think metals are preparing to max out and come tumbling down.
I'm a strong beleive that the stock market is about to die a long, grueling death over the next 10-15 years, bottoming out with the DOW at 3850 and trading sideways for a very long time until its ultimate demise.
This week is the day or reckoning, and expect a ton of volatility. I plan to day trade FAZ a lot on these upcoming daily swings, and I'll eventually hold once it hits 7.70.