Investing Newsletter
Get the hottest stocks to buy and sell every week.
AdZone
ADVERTISEMENTUS Markets Ad Single.php
Markets
Most Popular
Most Popular ReadRead
Emailed
Commented
- Trading Iron Condors -2 comments
- A Star in a ‘Dying’ Industry -2 comments
- Chart Analysis 101: Buying Pressure -1 comment
- Understanding How Implied Volatility Affects Options Traders -1 comment
- What is a Short Squeeze? -1 comment
Broker’s Center:
Featured Partners
Investing Newsletter
Get the hottest stocks to buy and sell every week.
Stock Picks – ProShares UltraShort Financials-SKF
ProShares UltraShort Financials (SKF) — This exchange-traded fund (ETF) seeks to achieve results that are twice the inverse of the daily performance of the Dow Jones U.S. Financial Index.
These shares are highly volatile. In March, this inverse ETF traded above $260.
On Nov. 17, at $24.40, I said, “With the markets at a resistance line and banks considered overpriced by a top analyst, traders may want to take a position in this very volatile ETF for a quick trade … Stop-loss orders should be entered at $22. The target for this trade is $28 to $30.”
The stop-loss order at $22 was triggered, but a bottom appears to have followed shortly thereafter just below that level, and the long-term resistance line at $24 was broken in January.
The trading objective is changed to $36 due to the powerful high-volume buying. Stop-loss orders should still be entered at $22.
This is an inverse, leveraged ETF and only suitable for day traders, not long-term investors.
Related Articles:
Going Global for World-Class Profits in 2010
Countries such as Brazil, India and China are all forecasting GDP growth that surpasses that of the United States. If you’re not investing to take advantage of this global growth, you could really miss out on potential profits. This special report from CNBC’s Maria Bartiromo shows you the best way to go after world-class profits now. Download your FREE copy here.