This is more of an educational post, but it also serves as a trading idea.
Costs of derivatives and manager fees make leveraged ETFs have a dangerous time decay. If trading for periods longer than a day, these kick in. How badly they impair performance depends on the volatility of the underlyings, so be careful when trading these. A more clearly trending underlying makes for a safer leveraged play, so, instruments like QLD/QID aren't as affected by this.
You can observe how being short both sides of the coin, can produce a downtrend in the chart, and thus, a safe long term short.
Be careful when trading these for longer than a day, and if trading QLD, or QID, be careful with trades held for longer than a month, or a quarter (I estimate that is for how long they can outperform QQQ).
Cheers,
Ivan Labrie.
Costs of derivatives and manager fees make leveraged ETFs have a dangerous time decay. If trading for periods longer than a day, these kick in. How badly they impair performance depends on the volatility of the underlyings, so be careful when trading these. A more clearly trending underlying makes for a safer leveraged play, so, instruments like QLD/QID aren't as affected by this.
You can observe how being short both sides of the coin, can produce a downtrend in the chart, and thus, a safe long term short.
Be careful when trading these for longer than a day, and if trading QLD, or QID, be careful with trades held for longer than a month, or a quarter (I estimate that is for how long they can outperform QQQ).
Cheers,
Ivan Labrie.
Not
Another way to put it, this 'portfolio' is up 235% YTD:
Public, timestamped track record. Free month of the desk: ivanlabrie.netlify.app
Feragatname
Bilgiler ve yayınlar, TradingView tarafından sağlanan veya onaylanan finansal, yatırım, alım satım veya diğer türden tavsiye veya öneriler anlamına gelmez ve teşkil etmez. Kullanım Koşulları bölümünde daha fazlasını okuyun.
Public, timestamped track record. Free month of the desk: ivanlabrie.netlify.app
Feragatname
Bilgiler ve yayınlar, TradingView tarafından sağlanan veya onaylanan finansal, yatırım, alım satım veya diğer türden tavsiye veya öneriler anlamına gelmez ve teşkil etmez. Kullanım Koşulları bölümünde daha fazlasını okuyun.