[quote=“Mother Theresa”][quote=“Huang Guang Chen”]Way to many variables I’d say. The first thing you want to to consider is whether you’re a day trader or a value investor.
HG[/quote]
Being a day trader is scary as hell in this volatile market. It’s also particularly difficult if one lives in Taiwan and is sleeping during market-time. So, I know it makes more sense not to screw around with such risky, nerve-wracking, game playing, but to go with a sound long-term strategy. . . but, on the other hand, wouldn’t it be nice to swiftly make up for some of the slow, painful loss of the past year through a few slick trades? As I said, SRS rose 19% last night. How much will it rise in coming days?[/quote]
Ha, I called that. The markets dropped another 5% yesterday. SRS rose another 9.7% (up over 28% in two days)
Financials ultrashort, SKF, rose 12% yesterday
S&P500 ultrashort, SDS, rose 10.3%
DJIA ultrashort, DXD, rose 9.4%
Should’ve been a no-brainer. The fundamentals of the economy suck. It was widely known that lots of reports are coming out this week with abundant terrible news. It’s widely acknowledged the market is heading down, down, down.
It should’ve been abundantly clear the rise in the market leading up to the election was pure irrational exuberance and reality would then sink in immediately afterwards, causing it to drop back down.
All of that should’ve been sufficiently clear to warrant betting on it and selling stocks at the giddy, election high and immediately buying ultrashorts such as the above. I didn’t do that – damn, damn, damn – but am still thinking about jumping back on the SRS bandwagon. Clearly the future will continue down.