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Rhino: If you skf'ed at the start of the year ... you're up just about 50% YTD.

http://finance.google.com/finance?client=ob&q=NYSE:SKF

Mr. Nystrom posted a very important warning ...

Yes, but the volatility on SKF has been extreme:

http://bigcharts.marketwa...

It has been as high as 300, and as low as 100 in the past 2 months. Now it is around 158.

Not bad if you're a trader, but you've got to keep a close eye on it.




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I've been watching this ETF also

SKF is shorting fins. but be careful, the gov. says it will not allow more banks to fail.

"Reality is the leading cause of stress amongst those in touch with it."
--Jane Wagner

Michael Nystrom's picture

Volatility

Yes, but the volatility on SKF has been extreme:

http://bigcharts.marketwatch.com/quickchart/quickchart.asp?s...

It has been as high as 300, and as low as 100 in the past 2 months. Now it is around 158.

Not bad if you're a trader, but you've got to keep a close eye on it.

Are you a trader?

All art is only done by the individual. The individual is all you ever have, and all schools only serve to classify their members as failures. E.H.

Timing the financials have been quite easy and profitable ....

short prior to TARP ...

Long after the TARP ...

Short before Q1 earnings season ...

Go long again once Traunch 2 passes ....

Short again at the beginning of Q3 earnings report season.

Not even sure how this could be considered gambling.

WAHOR!!
http://www.dailypaul.com/node/48994

Michael Nystrom's picture

This morning

I went long UYG at 3.70, for a very short term play. I will close out either tonight or tomorrow. I'll bet that the market closes up today.

All art is only done by the individual. The individual is all you ever have, and all schools only serve to classify their members as failures. E.H.

I think your on the wrong side of the market today ...

but like I said on the other thread, what do I know.

I don't even know how people do it day to day.

I generally see more success thinking quarter to quarter.

I am a macro guy.

WAHOR!!
http://www.dailypaul.com/node/48994

Trader?

Not sure.

I make several changes to my positions a week.

Is that a trader?

WAHOR!!
http://www.dailypaul.com/node/48994

Michael Nystrom's picture

Yes, I'd say you're a

Yes, I'd say you're a trader. Did you see my beautiful call to short Apple back in June 2007:

http://www.depression2.tv/d2/short-apple

It has worked out quite nicely for me.

All art is only done by the individual. The individual is all you ever have, and all schools only serve to classify their members as failures. E.H.

Yes I did ...

There was another poster here that had a buy order in at $91 when it was still at $120 ...

Man I thought he was going to make out like a bandit ...

Too early to tell on that one ...

But the latest news doesn't bode well.

WAHOR!!
http://www.dailypaul.com/node/48994

My understanding

is that these funds are only useful for short term betting. As long term investments, the volatility eats your returns and you are better off just shorting the index.

Is that true?

"As long term investments,

"As long term investments, the volatility eats your returns and you are better off just shorting the index."

That is my experience. Short the index or buy puts.

Michael Nystrom's picture

Yes, absolutely

I have preferred to be short SSO rather than long SDS.

All art is only done by the individual. The individual is all you ever have, and all schools only serve to classify their members as failures. E.H.

Yes ... absolutely ...

But the days of buy and hold have been over for a few years now.

WAHOR!!
http://www.dailypaul.com/node/48994

I still

like ETFs for buy and hold. I kinda try to follow Peter Schiff's advice... foreign dividend paying indices, commodities, etc.