squark62

Wednesday Outlook: Big Brother's House

dave, i also portend that short-selling restrictions, even with the leveraged ETF varieties, are the federal gubment's long arm squeezing any investment bankers #%$*@*'s to keep this market artificially propped up. oh, and the U.S. "collaboration" with foreign gubment's is resulting in the same thing over ye-onder, UBS.

Leveraged ETF Ban Spreading Like the Flu

@missing_link: as the rap group houdini from the '80s sang: hhhhuh huh hhhuh huh...... the flame come out at night.....huh huh .......the flames come out night! i empathize with trying to suffer a fool.

Leveraged ETF Ban Spreading Like the Flu

if they ban leveraged ETFs, they should ban individuals from options trading. even more risk there. i think some of these bans are coming down to prop the market up as the gobment starts pulling brokers purse strings. the down-side of taking TARP money and anything else from the gobment. non-profits have known this from years. don't take uncle sams money because uncle sam will start dictating your policy. future noise/actions similar to this are inevitable.

Should we be running for the exits? Mark Hulbert notes corporate insiders are at their most bearish in nearly two years, selling their companies' shares at a faster pace at any time since the top of the bull.

i'd certainly keep regular tabs on the exit signs at a minimum. and make sure there's always plenty of room to run that way before the whole herd gets there first.

Obama's Wasted Political Capital

hummm.....all this angst over a jobless "recovery" is not something new to mainstreet. that's all 2003 - 2006 was under W. also, i'm not convinced wall street is back to business as usual yet. it may appear that way with all the taxpayers stimulus money going to the banks. it still remains to be seen whether this stock market run-up has legs beyond august or next week for that matter.

ProShares Study Rebuffs Leveraged ETF Critics

i'm a big fan and user of ProFund leveraged ETFs, in particular pairs trading the major index ETFs like SDS-SSO & DXD-DDM. however, i have noticed and developed a pairs trading strategy around the fact that these ETFs have significant compounding and slippage issue over long periods of time. as long as certain boundary conditions exist, these pair trades have done well. the SDS-SSO pairs trade in particular maintained it's integrity during Sep-08 through mar-09. now if there were no slippage or compounding problems, i would NOT be able to characterize a "curved" symmetrical geodesic path upon which the actual "neutral" weights of each index paired ETF travels. so i say, if you don't trade these ETFs with some sort quantitative strategy, stick to in and out in one day or you could potentially lose a significant amount of hard-earned capital.

FactorETF Filings: These New Hedging ETFs Could Be Revolutionary

interesting. SDS is a great hedge. in my opinion QAI is also great for hedging for a reason that some may say owning QAI is not hedging. from my observations, QAI is low beta. it follows trends but without all the volatility. that could be useful to very conservative traders. i believe the pairing concept of hedging with ETFs sounds exciting. i'll be watching for more details on these new ETFs from FactorETF.

The Market Bounces Through Bad News

with ya, doc, on your sentiment of the market. i went "neutral" in my long/short ETF pairs trades yesterday around 2 pm. this rally is so over-baked, my oven is shinny clean. besides all the radiant heat, there's no sign anything new has been cooked to put on the table.

David Rosenberg's takeaway from the Meredith rally: "The fact that the equity market could rally this much based on one analyst's commentary is testament to the view of how badly investors want to believe that the recession and credit crunch are behind us and that unbridled prosperity lies ahead."

that's what make selling so much fun. there wouldn't be a market otherwise. buy low, sell high, higher, higher......

Prepare for a (Weak) Oversold Bounce

kudos, doc!!!!

Prepare for a (Weak) Oversold Bounce

i agree, nice work doc! the others that posted before crazycylinder seem to have ideological problems. especially cetin. i own SSO & a healthy dose of SDS. among other things, i look at RSI between these 2 ETFs. when they cross is a clear indication of market direction. SDS RSI currently is > SOS RSI. this will have change before i act according. -cheers!

On Jul 09 03:15 PM CrazyCilinder wrote:

> Good Analysis!

Google Chrome: Redefining the Operating System

who is most likely to win with google's entry into operating systems is vmware (i.e. EMC). yet another operating system i can chose to run on my mac or pc if i wish.

Google Chrome: Redefining the Operating System

i have to concur. i've been through the whole linux revolution from start to now. all the same things were said about linux, freebsd & now mac osx. "oh, these are different...and they're free...microsoft will be extinct by Y2K!!!!", the rants went. we'll these other OSes have put a dent into some of MS market share, but not by stealing it. they ultimately grew the whole pie so to speak. microsoft & bill gates were cast as the evil borg of assimilation. so what if they don't innovate. they've lasted this long in the OS world as is very battle ready. don't under estimate the MS borg. but wait, do we have another borg to contend with? that would be, beware of the google borg.


On Jul 08 10:01 AM Larry Bellehumeur wrote:

> The Market won't care.....there has been a viable option in MAC and
> Linux for years, and MSFT is still king. Do you imagine a Fortune
> 500 company, which is where much of their money comes from, switching
> over? The average Home user might put $100 in MSFT's pocket, where
> as GE might put hundreds of millions per year....
>
> When Google cracks the Corporate market, then people will notice.

Art Cashin: Correction Will Be Clear by Next Friday

author: ... and there is a better chance for profitable trades coming than can be seen right now.

me: i take it this means you ultimately believe markets are headed down if there will be better long buys later. well, i agree with your assessment and if art said what you said he said, i agree with him as well.

i'm not sure what art's premise is for his belief other than earnings are going to be disappointing to the masses. for technical reasons i believe the markets are headed down because essentially call/put ratios are over levered to the upside historically. this will have to be unwound before we get to another meaningful bottom, particularly for the s&p 500.

Direxion to Reverse Split 3x Financial ETFs After Steep Fall in Price

ummm...don't hurt him too bad...but of course tim you're right on the matter. notice all the ranker now to diminish long ETF exposure to commodities, particularly oil. i think the SEC's focus there is much more productive than working to ban leveraged ETFs, especially the ones that track major indicies like the dow 30, S&P 500 & nasdaq composite. -cheers!


On Jul 07 10:32 AM Luck-o-the-Irish wrote:

> Trench
> -You obviously show no understanding of the mechanics of the funds.
> They do what they were designed to do. If you don't understand them,
> then don't use them. But if you are going to make an accussation
> such as that, then at least back them with some facts. I have outlined
> MANY of arguments surrounding leveraged ETFs on thestreet.com, and
> several here. I suggest you add something to the conversation that
> can be pondered or debated.