It would all depend on the volatility. Yes, that is what my point is, it will easily return to $12 when MSTR retraces to $353 for example. The percent's are irrelevant. Ah its been tracking MSTR the whole time. I should have done this comparison in the first place instead of wasting my time with you punters...I would have averaged down this morning before it rallied like I knew it would. Oh well I was on the fence because I might need the buying power. I think subconsciously I knew you risk averse obsessed guys would doom and gloom it long enough for me to miss the opportunity.
You are very creative in making your bad trades appear smart. But the thing is, nobody cares. The fact that you understand the mechanics of things and post about it while at the launderette, doesn't make you sound cool... you were in the red, added to it and it's even worse now. Why should anyone care about how you manage a position when you are that bad?
What are you going on about? Smart traders don't cut losses lol. The point of this mechanical trade is income. My break even is $8.55 but you think I'll be satisfied with breaking even? Heck no. I'm going to wait for this to retrace and sell some calls.
Why still not ZERO?!?!?!?! Why is it going down so slowly?!?!?!? At least, it should be $2.50 by now.
It's like the addition of velocities. The closer you get to the speed of light, the harder it is to attain the speed of light. Simple physics guys. Most of the time it doesn't 2x in either direction...it's just a target.
Fortunately you have lost all credibility. Anyway they recently did a 10:1 split so technically we are at $50.68
Same difference with an etf that tracks MSTR which tracks bitcoin. It has to go up at some point unlike a company stock that can drift back down to the pre r/s price.
Bottom line for these leveraged ETFs is they were made for daytrading. Their origin is the 2008-9 GFC volatility (6 months straight of VIX>30). ProShares & DireXion came out with these during that time period. If you want to use these in long term trading they only make sense in low volatility securities. I did the analysis on the 3 broad indices for the 2022 drop and only the UDOW (3X DIA) was up. SPXL & TQQQ were still lower by Q3 2024. High volatility == massive decay. I've owned these long term but you have to maintain them by buying enough to maintain the theoretical level you started out at. 10% loss means you have to buy 1% more, 20% loss means 4% more, 30% means 9% more, etc. That is the reason these instruments are really only good for as long as the up cycle continues. I remember at one point I was up almost 900% on MSTZ & MSTU when MSTR was up about 250%. Since then is has collapsed.