Black Every Day?

Discussion in 'Trading' started by nitro, Mar 17, 2008.

  1. S2007S

    S2007S


    No trades yet but looking at TNA for a small trade....its been trading between 98-105 for weeks.....
     
    #801     Jan 30, 2017
  2. Maverick74

    Maverick74

    Why do you trade this 3X garbage? Are you capitalized enough for futures?
     
    #802     Jan 30, 2017
  3. S2007S

    S2007S

    Big earning this week

    AAPL on Tues
    Fb on Wed and
    Amazon on Thursday


    According to the street each of these 3 should pass this last quarter with flying colors....we all know Amazon had record Xmas sales....we all know Apple sold a bunch of phones for the holiday quarter and had record breaking app sales....and for fb well we all know all that fake news got them plenty of eyes on their advertising ads. So all 3 should have no problem beating those low balled estimates that analysts love to predict.....
     
    #803     Jan 30, 2017
  4. S2007S

    S2007S


    I'm capitilaized enough for futures but don't trade them...only equities. Figure how can I lose with TNA when the markets only go in one direction..... Up
    I bought TNA back in August 2015 around 90. Watched it dip to $35 still held on and sold it a couple of .months ago after it rallied all the way back up....also bought SOXL and held through the feb 2016 dip...today its 65+ a share....seems even if you buy these bull 3x etfs and hold long enough its like guaranteed money....as long as the markets rally which from now until 2020 everyone thinks the markets will rally huge on Trump's pro business agenda. So how can you lose buying bull 3x etfs .....

    :)
     
    #804     Jan 30, 2017
  5. Maverick74

    Maverick74

    Those 3X ETF's lose exponentially to the sq root of time vs the futures. The longer you hold them, the more they underperform futures. Do you not understand that. A simple excel spreadsheet would benefit you greatly.
     
    #805     Jan 30, 2017
  6. S2007S

    S2007S

    #806     Jan 30, 2017
  7. S2007S

    S2007S


    So basically shorting

    TNA, SOXL, UDOW TQQQ would be guaranteed free money over time?
     
    #807     Jan 30, 2017
  8. CyJackX

    CyJackX

    No, because borrowing fees are higher for them since everybody knows that's what people would do.
     
    #808     Jan 30, 2017
  9. S2007S

    S2007S

    #809     Jan 30, 2017
  10. Maverick74

    Maverick74

    If you shorted them and hedged with futures with low enough borrowing cost, yes. I doubt your borrowing cost is low enough.
     
    #810     Jan 30, 2017