I have a friend who's been shorting this market. Needless to say, he's been taking it in the shorts. I tried to tell him ...Originally Posted by Eye4nI
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I have a friend who's been shorting this market. Needless to say, he's been taking it in the shorts. I tried to tell him ...
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Are you sure ? There is big time buying of inverse ETF's.
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I posted a few days ago, on this thread, a report from Barron's
in this regard: investors buy big time leveraged, inverse ETF's.
Here you have it again.
https://www.barrons.com/articles/ris...hoo&yptr=yahoo
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Timing the market by aggressively going long or short has been proven to be quite difficult
If one has to choose, going long is best as market is up the majority of the time.
That being said, shorting certain stocks, or the market, in special situations, or for hedging, in a very controlled way, can make sense
Keeping to an asset allocation ( stocks, bonds, preferred, real estate,cash, gold,alternatives, special situations etc,)
and varying them to a small degree, based on length of the current cycle, is a tried and true way
to pay out income and make slow and steady progress, and not suffer significant losses.
Many people confuse past luck at prognosticating the markets, with some special skill that they possess.
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Had people been going inverse or leveraged inverse right after the article was released (Nov 9th), they would've seen some big losses. Imagine having to watch a continuously rising DOW, S & P and NASDAQ all month long while being in those positions.
As the article says -
Friendly reminder: No one should park their assets in these ETPs for longer than a day, because these products reset every day.
I'm sure there's a market for these since there are always speculators swinging for the fences.
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Not at all. When markets are so much overvalued, you are sure they
will come down. The technique is "to get your feet wet" first, ie buy
a limited amount of inverse ETF's so you will not get hurt by moves
upwards. When the markets start to come down in earnest (like today ! eg)
you add to your position. Some people wait even more, until a trend is formed.
(trend followers).
All factors have to be aligned: fundamentals, TA (technical analysis) etc. Eg if
the moving averages are trending up and the price of your inverse ETF is above
moving averages, the odds are greatly in your favor.
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ZBIO inverse ETF seems to be ripe to buy.
http://bigcharts.marketwatch.com/adv...false&state=11
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"With so many inverse ETF's, which short sell, your risks are much
lower than shorting a stock only----or a few stocks. "
this is wrong on many levels. If you enter the trade at at the wrong time, for example, (which will be the majority of the time statistically speaking) you still end up with a loosing trade, stock or ETF.
" You can loose only
the money invested in the ETF's.
Loss is a loss, i dont see a difference. You either make money or you lose money. Numbers don't lie.
Truth is most speculators go bust (especially true for small retail guys). Timing the trade is only one of the major components that go into a successful trade. If you have one of the trade components wrong - your entire trade is a bust.
One sure way to make a small fortune in trading - start with a big fortune! (this is applicable to so many things..)
--- Do your own due diligence, don't trust anyone's opinions - the majority is always wrong! ---
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Retailers are going down. Amazon is not the only cause.
High rent is also a major cause:
https://www.theguardian.com/business...ps-amazon-rent
http://www.businessinsider.com/retai...-filings2017-9
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Executives of FAANG are selling.
-----------------------------------
They know best about their companies.
http://www.marketoracle.co.uk/Article61163.html
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