Anyone buying short ETF's ?

[united_forces]

I understand zero interest rates and lack of yield but damn, these valuations / forward looking p/e's are absurd. Im looking at this as a double top.

 

[KCalhoun]

Very successfully in February and March. Very unsuccessfully in April and May.

If S&P gets back under 3000 I will trade them aggressively again.

Very risky and not for holding more than a few days

 

[murray t turtle]

I understand zero interest rates and lack of yield but damn, these valuations / forward looking p/e's are absurd. Im looking at this as a double top.

%%
Plan on it; not yet/ they will hurt you bad if too early or late/ 3x long is much different/assume a good uptrend=usually correct.

 

[Nobert]

but damn, these valuations

Simple law of supply and demand.

When everyone wants something and there's not enough of it, things become expensive.

Given the money out of the thin air times that we live in and US being, sort of a safe heaven, to park the money in, for reasonable returns (since bonds are for idiots, just as the Buffet said),

the valuations might be the new norm.

 

[guru]

These ETFs are designed to lose value over time, so buying them is like spending money on insurance - you have to refill it regularly, until one day you may be able to cash out.
Not worth it unless your timing is great.

 

[KCalhoun]

These ETFs are designed to lose value over time, so buying them is like spending money on insurance - you have to refill it regularly, until one day you may be able to cash out.
Not worth it unless your timing is great.

Exactly. Long odds but huge upside when markets drop. Better for daytrading than swings, I daytraded TVIX TZA last week

 

[murray t turtle]

Simple law of supply and demand.

When everyone wants something and there's not enough of it, things become expensive.

Given the money out of the thin air times that we live in and US being, sort of a safe heaven, to park the money in, for reasonable returns (since bonds are for idiots, just as the Buffet said),

the valuations might be the new norm.

%%
OK I agree; but Dow tends o be such an underperformer/look out below.Or as Joe Kennedy/sec commissioner in yester year noted,
beware of bear
, .ept selloffs can be fierce.
QQQ above 200dma/superstrong/ DAL weak+went bankrupt with no virus/may go bankrupt again...………………………………………………………………………………...

 

[old coot]

Logic would dictate that shorting the leveraged short etf's like SQQQ during an up move would pay better than going long during a selloff. Conversely, if there are leveraged long etf's like TQQQ, you may be better off shorting them during a selloff. The easiest thing to do would look at them and figure their move based on the QQQ move, and see for yourself which pays better. SQQQ long, or TQQQ short.

 

[united_forces]

tje SQQQ is what i was looking at.

 

[KCalhoun]

SQQQ SOXS the most sold off bc tech strength re covid.. .. I'm thinking best plays during selloff are SPXS SDOW TZA/SRTY UVXY for swings