gcl, I agree that this may be in favor of bears. Hopefully that is not a contrary indicator. the internals of market continue to be weak and we need to back test the recent sell-off. I think we may have seen the top this morning. even if we push a bit higher, I would expect us to head towards your 106.5 SPY target by next week.
I think the UNG loses its "contango" in January. not sure, but if so, UNG will start to be a good investment vehicle again. it has been in contango for over a year.
JDT, most ETFs will lose values over time. You can only play ETFs for a short period of time. FAZ and FAS lose so much values in past. Both of them had 10 for 1 reverse split to brought the prices back up again. The whole cycle repeats.
gcl, yes, I realize that, but the UNG etf has to roll the nat gas futures contract at the end of each month, and for the last year (plus) it has been a negative roll due to contango. that will no longer be the case come January, and this etf will be set to fly higher.
gcl, I agree that this may be in favor of bears. Hopefully that is not a contrary indicator. the internals of market continue to be weak and we need to back test the recent sell-off. I think we may have seen the top this morning. even if we push a bit higher, I would expect us to head towards your 106.5 SPY target by next week.
ReplyDeleteI am wondering who got fooled today.
ReplyDeleteAre the longs going long or shorts got squeezed? Hmmm.
The natural gas had hit the bottom. It is on the verge of reversing.
ReplyDeleteI think the UNG loses its "contango" in January. not sure, but if so, UNG will start to be a good investment vehicle again. it has been in contango for over a year.
ReplyDeleteJDT, most ETFs will lose values over time. You can only play ETFs for a short period of time. FAZ and FAS lose so much values in past. Both of them had 10 for 1 reverse split to brought the prices back up again. The whole cycle repeats.
ReplyDeleteFAZ was 50 to 1 reverse ;)
ReplyDeleteProShares are more 'stable' than Direxion.
poorysa
Today the market has lots of jerky sharp moves.
ReplyDeletegcl, yes, I realize that, but the UNG etf has to roll the nat gas futures contract at the end of each month, and for the last year (plus) it has been a negative roll due to contango. that will no longer be the case come January, and this etf will be set to fly higher.
ReplyDeleteJust bought SPXU at 37.55 again.
ReplyDeleteThe specialists controlled the prices to perfection. The SPY and QQQQ closed almost where its opened today.
ReplyDelete