Just when we thought it couldn't get any better - 4X leveraged ETFs are coming!

Discussion in 'ETFs' started by SteveM, May 2, 2017.

  1. SteveM

    SteveM

    "May 2 (Reuters) - The Securities and Exchange Commission on Tuesday approved a request to list and trade quadruple-leveraged exchange-traded funds, marking a first for the growing market for such funds in the United States. The request to list ForceShares Daily 4X US Market Futures Long Fund and ForceShares Daily 4X US Market Futures Short Fund was filed by Intercontinental Exchange Inc's <ICE.N> NYSE Arca exchange. One of the funds is designed to deliver 400 percent of the daily performance of S&P 500 <.SPX> stock index futures, while another fund will aim to deliver four times the inverse of that benchmark."

    Read more: http://www.nasdaq.com/article/sec-a...leleveraged-etfs-20170502-01913#ixzz4fyt9uTdV
     
    murray t turtle likes this.
  2. Max E.

    Max E.

    Sweet, Shorting the 3x ETFS is already free money, 4x going to be even more fun.
     
  3. Maverick74

    Maverick74

    They are trying to offset the complete lack of movement in the market. Even 3X etf's barely move these days. That's how dead this market is.
     
    VPhantom, Clubber Lang and SteveM like this.
  4. Max E.

    Max E.


    There is still decent movement on some of these 3x etfs like nugt uvxy, and tvix, hell id be willing to bet atleast a quarter of my year is made up of shorting those things just got to pick your spots.
     
  5. Maverick74

    Maverick74

    Yeah I was referring to the 3X SPY etfs. The SPY is so dead that even juicing it by a factor of 3 still produces no meaningful movement. LOL.
     
    VPhantom and murray t turtle like this.
  6. Max E.

    Max E.

    Yeah thats true, i usually just trade the ES when i want to trade the index, more bang for your buck.
     
  7. Maverick74

    Maverick74

    Do you hold for one tick or two? LOL.
     
  8. Max E.

    Max E.


    LOL, yeah pretty tough to trade it intraday, i generally only get involved at extremes, im short short 2379 on the september contract, stop over 2400 right now, but if AAPL melts down today and the market doesnt break down ill probably cut it.
     
    VPhantom likes this.
  9. They're buying every dip good or bad news. It's a bubble until it gets popped
     
  10. Max E.

    Max E.


    Yeah, thats certainly what it looks like, like i said if it doesnt break down today im probably gone, i know better than to short a dull market, my intial thought was that there simply wouldnt be enough volume for us to break any higher during the summer boring so we would get another dip, but i havent likd how its held up the last few days.
     
    #10     May 3, 2017