I already entered a full size SQQQ (3x short QQQ) yesterday. I'm looking around at the choices, mostly in the 3x inverse / bear/ short category for the SPY (SPXU), QQQ (SQQQ) , IWM (SRTY) and XLF (FAZ).
Honestly, I can't say any one is better than the others, they are all looking really good right now, but again this looks to be a shorter term pullback trade, I imagine near the lows of last week before the market puts together a stronger base and moves higher.
I've decided I'm going to split a position between FAZ long (3x short Financials) and SRTY long (3x short Russell 2000/IWM) as that gives me tech exposure (SQQQ), small cap (SRTY) and Financial (FAZ).
I think we are seeing a rounding top (in the averages ) or bottom (in the inverse ETFs), that's probably more than half way done. Keep in mind possible head fake moves or stop runs before an actual reversal, if we get some of those and I'll set price alerts, then I may enter some puts as well in the major averages, but only if I get that discount from a pop above today's intraday highs (for the inverse ETFs it would be a drop below today's intraday lows).
I'll get some charts up next.
Is interest rates about to start going up?
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Yes, I know - it does not make any sense - FED is about to cut
rates...but....real world interest rates are not always what FED wants it
to be.
5 years ago
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