Trade Radar Operator

SKF Regaining Its Old Form?

Yes, E F Nuttin. I also watched in pain as SKF just sat there. But that was over a week ago and more recently SKF has been acting somewhat more normally.

Banks Are Bearish, or Hedging, Financials and Real Estate

bluesmoke -

The ProShares Ultra-Short Real Estate ETF is basically an inverse REIT which implies the banks are primarily betting against U.S. commercial real estate.

Shorting China and Financials: Money Left on the Table - A Cautionary Tale

The portfolios of the Ultra Short ETFs are somewhat incomprehensible for non-professional investors, consisting as they do of swaps, options, etc. That is why I often look at the regular, unleveraged corresponding ETF for signals. FXI, for example, has a set of underlying stocks as does XLF, which is the ETF I track as a kind of mirror-image of SKF.

Now is the Time for Inverse Sector ETFs

Malkiel is correct. Buying the inverse ETFs when they are down is just the old "buy low/sell high" concept. For example, I did initiate a position in QID but I did it several weeks ago. At that time QID was still making a bottom while the NASDAQ was riding high. I endured some pain until the NASDAQ finally dropped. And, of course, these funds will bounce around as much as the correpsonding long funds as there is plenty of volatility in both kinds of funds, expecially the Ultra versions.