Ex15:26

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    • Mon Mar 3rd 10:01 AM | Rating: 0 0
      Commented on:
      Using UltraShort ETFs as a Sentiment Gauge
      Great stuff. Thanks. I have been trading the DXD, QID, and SDS - selling after several days of run ups and then buying after the overall markets have a two or three day run. While this has been profitable, it has been based more on feelings than any data I could point to. I'll begin tracking these to tighten up my entries and exits.

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    • Fri Feb 29th 17:33 PM | Rating: 0 0
      Commented on:
      Creating a Hedge with ProShares Ultrashort QID
      A couple of thoughts on the UltraShorts and your approach to this.

      1) If you've put this hedge on, you must or should have an idea of what your exit strategy point will be. (For example, you'll bail out when the Nasdaq hits 2200 or the lows of July 2006.) If not, you'll never get out and will lose it all back.

      2) Remember, the QID is 2x leveraged. In this market you can be celebrating and then getting sick in the trash can in a matter of minutes. (Remember last week when the market shot up in the last 45 minutes of trading? If you didn't have a stop on it and were not at your screen, you lost all of your profits or got murdered in a matter of moments.)

      3) There are tracking errors in the QID and the market. Remember the QID trades with its own supply and demand. I've had the DXD, SDS, and QID trade way off from the underlying index intra day and it can be frustrating.

      4) Bottom line, you may have entered into this with the intent that you are simply going to "set it and forget it" and I think that is a mistake. Since you've already made the call to short the market you obviously have conviction that things aren't that good. Cash is really nice to have with the majority of your position and you can jump back in when the market shows that it really is moving in an upward direction (since you sound like you have an upward bias). My belief has been that we are really range bound and will retest the recent lows of 12000 on the Dow. In a range bound market you can use the QID and QLD to make money on the swings in direction. STOPS are a must!
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    • Thu Feb 28th 23:02 PM | Rating: 0 0
      Commented on:
      Deutsche Bank First to Market with Leveraged, Inverse Gold ETNs
      I believe the went live today. (At least for DGP (2 x long) and DZZ(2xshort)). I don't see a print for DGZ yet. As if these weren't volatile enough. How interesting.
      As a word of caution, I'd be very careful with these until some other lucky investors show us how they will trade. The two traded a total of 18,000 shares today.
      Best of luck!
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    • Mon Feb 25th 10:42 AM | Rating: 0 0
      Commented on:
      Shorting the Homebuilders as Their Stocks Surge
      It seems like there is a worst of all scenarios happening for homebuilders. No stats here, just thoughts. Homebuilders are still facing;
      1) Inability to move current inventory
      2) Declining housing prices and sales
      3) Credit issues for their potential buyers. Jumbo loans are almost impossible to get in some areas.
      4) Rising commodity prices - impacts pricing even more
      5) Any thoughts on labor issues as Feds tighten up on illegal immigration given the Dept of HLS recent announcement?
      6) Here's the positive, as a contrarian as soon as the entire market believes that all homebuilders are done for, it's time to begin researching (not necessarily buying). - there are regional pockets that have not been impacted. In Houston for example, inside the "loop" sales of $1MM + homes are the best ever recorded.

      Does anyone know of some regional buiders that are showing strength?

      Finally, I'm not buying the relative value arguement for housing in the US versus Europe. It is very clear that home prices in England for example have been a result of a bubble. That is like saying that NY real estate is so cheap compared to Hong Kong properties. Ask someone that bought in San Francisco three years ago if they think they got a good deal on their property, chances are they owe more on their mortgage than what they can sell it for relative value or not.

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    • Thu Feb 21st 22:28 PM | Rating: 0 0
      Commented on:
      Big Oil's Big Problem: Time is Running Out
      Yes, the government....errrr Obama, will help big oil make the right decision to innovate. In addition, he'll get the health care companies to give us universal healthcare, get the universities to give us free tuition, and ask the Iranians not to be so mean and "understand" their side of things. Just like great sounding slogans like "Hope" and "Change", these things sound good and have no real substance.

      Your message is received loud and clear, and I think we all agree that something must be done, but having the government do anything effectively or efficiently is probably not possible. Second, look at the unintended consequences of the Bush Ethanol plan - what a screw up! Groceries, feedstocks, and everything else are up and no one is saying a thing.
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    • Sun Feb 17th 23:05 PM | Rating: 0 0
      Commented on:
      Real Estate Brokers Must Hate Economists
      I strongly believe there are great professionals out there that add value and can help negotiate a deal for more money or expedite a close. Each realtor I've used have made a valuable impact and earned their commission. Just like in every profession, there are folks that are not highly skilled and don't earn their pay.

      Personally, I do not like the standardized pricing you get in dealing with a realtor. Yes, a few can negotiate to give you a 1 percent reduction if you complete a buy and a sell, but largely the entire industry sets a standard price for any transaction at 6% (3% for each side). Clearly a large undeveloped track of land requires more skill (and compensation on a percentage basis) than an average home, don't you think?

      Finally, the impact of the NAR (National Association of Realtors) to squash competition from discount realtors that offer listings on MLS only or 1% commission fees rather than the standard rate indicates that this is more like price fixing than it is about letting competitive market forces work. Don't misunderstand me - commercial brokers have the ability to negotiate fees that are higher than 6%, so I fully agree with them that if they can earn it and negotiate it - GO FOR IT!, but setting a standardized commission floor like NAR does seems like they are stacking the deck against the consumer.
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