Markets are impossible to predict

[guru]

And for it's leveraged counterpart to fall a whopping 13% during the same 3 days. That's more volatile than it's been in a long time.

This fact can actually be easily predicted due to the nature of those ETFs as described by @mtrules . The way leveraged ETFs behave is well documented.

 

[farmerjohn1324]

You seriously never heard of algorithms?
And you seriously believe that gold and stocks are still mostly traded by humans?
Every algorithm looks at the past and if gold went up in the past and then down then the same events can be predicted. Even humans trade like this, in case you didn’t know.

And you seriously believe that this recent volatility is caused by algorithms? And not based on the news?

You're probably one of those idiots who thinks construction work will be done by robots in the near future.

 

[Snuskpelle]

Moral of the story: Don't use leveraged ETFs unless you have meticulously researched what you're doing. They're far harder to use than just buying some futures on margin or whatever.

 

[guru]

And you seriously believe that this recent volatility is caused by algorithms? And not based on the news?

You're probably one of those idiots who thinks construction work will be done by robots in the near future.

What are you talking about? Why would I think that that volatility was caused by algorithms? I never said this. Algorithms cannot trade without simply observing what happens just like humans do.
I only wrote that even dumb algorithms can predict how gold behaves, while you’re complaining that you cannot predict it.

The way you’re making conclusions explains why you can’t predict anything.

 

[farmerjohn1324]

Moral of the story: Don't use leveraged ETFs unless you have meticulously researched what you're doing. They're far harder to use than just buying some futures on margin or whatever.

Another moral I've learned is to never bet against the market. There's over 7 billion people on Earth, and 100% of them want the economy to do well. Trying to predict doomsday is not a good strategy.

The 3x leveraged S&P is up 91% ttm.

 

[farmerjohn1324]

What are you talking about? Why would I think that that volatility was caused by algorithms? I never said this. Algorithms cannot trade without simply observing what happens just like humans do.
I only wrote that even dumb algorithms can predict how gold behaves, while you’re complaining that you cannot predict it.

The way you’re making conclusions explains why you can’t predict anything.

I can predict that you will never be wealthy through investing/trading.

 

[destriero]

I've mentioned before that I have real money put into a leveraged gold fund.

So when there was that strike that killed the Iranian general this fund went up almost 10% in premarket. This was built up over the weekend I believe. So I thought that day was going to be great, but that 10% gain went away and it basically broke even by the end of the day. The following day it gained less than 1%. And today after Trump made a speech that calmed people down, the fund lost over 13%.

So in sum, the find lost over 13% in those 3 days. So this safe-haven fund is seen as 13% less of a good investment than it would have been if nothing had happened in the first place.

You sound like a noob. Index mkts opened higher after being 3%. Of course it's going to reverse. Trade futures for AH access or you get f*cked on days like these.

 

[Snuskpelle]

Another moral I've learned is to never bet against the market. There's over 7 billion people on Earth, and 100% of them want the economy to do well. Trying to predict doomsday is not a good strategy.

The 3x leveraged S&P is up 91% ttm.

The problem is when shit happens, 3x leveraged S&P still is at 3x leverage regardless where you entered it. Profits now vaporize fast.

Whereas futures/stocks you originally bought at some point back when things were far cheaper effectively make your account less leveraged as they go up in value. Not automatic exponential growth but you have far more control and can avoid volatility decay.

 

[farmerjohn1324]

You sound like a noob. Index mkts opened higher after being 3%. Of course it's going to reverse. Trade futures for AH access or you get f*cked on days like these.

I've been following this fund almost daily since September. 95% of the time when it's positive in premarket, it ends the day positive. Usually it continues to increase. And I've never seen a day with it 10% in premarket like it was Monday.

After being 3% what?

 

[nooby_mcnoob]

Markets are impossible to predict, but easy to follow. Take profits and move on