Long More QLD & UWM

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October 10, 2008

QLD @ 31.73

UWM @ 21.47

and listening to Mad Season, “I Don’t Know Anything”

Lets Roll.


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  • http://www.stockrake.com StockRake

    Now as the rally is going, “In America” by Creed is playing..how prophetic.

  • http://www.stockrake.com StockRake

    Now Phil Collins, “Long Long Way To Go.”

    The market related music keeps coming. I think thats Sting btw in the chorus…gotta look it up.

  • Sailor

    Hey. Not sure where to post this but I'm wondering if you can help me with a newbie trading question. I bought QLD last year as more of a long term investment, not so much a trade. I've been buying on the dips all year and as I'm sure you know, QLD just keeps going down. I've been thinking of a way to trade around my current large loss. I hoped buying on the dips would cut my cost basis and allow me to sell my entire position at break even… but as QLD continued to fall that didn't work out so well. :) As of right now, QLD is up about 13% on the day. What I'm thinking of doing is selling 50% of my position today, take that loss, but then buy back those shares at a lower price (as I believe today is just a bear market rally and QLD will fall back down very soon). Is that a good way to trade around this? Sell some today while were up 12%, buy the shares back at a 6% discount, and hopefully do it all again later… or am I just booking a loss and I should instead put QLD in my long term holding section and just leave it be? Does this question even make sense? Hopefully it does…

  • http://www.stockrake.com StockRake

    I wouldn't think the leveraged ETFs are great long term holds. I think they are great for intermediate term, short term swings, or in this market day trades. I'm not exactly sure on the figures, but the more you lose with a leveraged ETF requires that you be correct even more to make up the loss.

    The key is you have to be right more often with this vehicles than not or you may never get back to where you started.

    I never ever hang onto these leveraged etfs or leveraged mutual funds. I time the market using them. Stocks are better to hold longer term. If you wanted something that would correlate well with the NDX 100 AAPL would be that stock, but may be better if you want to hold long term regardless of downturns.

  • http://www.stockrake.com StockRake

    I wouldn't think the leveraged ETFs are great long term holds. I think they are great for intermediate term, short term swings, or in this market day trades. I'm not exactly sure on the figures, but the more you lose with a leveraged ETF requires that you be correct even more to make up the loss.

    The key is you have to be right more often with this vehicles than not or you may never get back to where you started.

    I never ever hang onto these leveraged etfs or leveraged mutual funds. I time the market using them. Stocks are better to hold longer term. If you wanted something that would correlate well with the NDX 100 AAPL would be that stock, but may be better if you want to hold long term regardless of downturns.