and the US-$ devaluates parabolic as well right now... probably biggest 2day move vs. yen, euro, swiss franc ever... if i were you i would protest at fed ny or somewhere, the big theft of wealth has started...
Dont even bet against it. Everything can and likely will continue straight up. If you are not careful here, you could be losing your shirt if you are in a negative bearish mood. I like to swing and this is a swingers paradise biased long.
I bought some TBT yesterday, probably a bit early, and have been shorting small chunks of IEF. Oddly, I think my broker has been having a tough time locating because the orders are getting filled slowly. I may stop out of TBT being 2x and all but feel very confident about shorting IEF. The chart is an absolutely textbook "exhaustion gap." I don't care about what the underlying is (USO, IEF, the hot tech stocks in 1999, etc.) when the chart looks like this it WILL come down...and usually with plenty of vigor. Check out what IEF did in June 2003...
Hmmm.. you are fighting fed policy. The fed said they are going to buy treasuries, esp the medium long end, to support mortgages and infuse capital into the system. This is a repricing. It will fall off, but not anytime in the next 3 months.
as I understand the double short ETFs underperform in the long-run a doubled sized short in the ETF or underlying
So, could you please explain what did you mean by "[..]and wait until Fannie Mae spreads come in.. "?
that sounds very logical and represents the quintessential thinking methodology of ET posters. of course you could be right.