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Thread: Buy the Short ETF, or Short the Long ETF?

  1. #1

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    Default Buy the Short ETF, or Short the Long ETF?

    Buy the Short ETF, or Short the Long ETF?

    I notice that the ETFchart likes to short the long ETF's, rather than buy a short ETF.

    Example: If you are bearish, would you sell short SSO, or buy SDS?

    What is your preference?
    -- Tom | My Trades


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  3. #2

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    Default Re: Buy the Short ETF, or Short the Long ETF?

    I use the short ETF. That way I don't have to worry about managing a margin account. I guess if you're playing with a lot of money and you're sure about the trade, then you might be able to make more shorting the long ETF than using a leveraged short ETF because fees tend to be higher in those leveraged ETF's.
    "Don't let your highs get too high and don't let your lows get too low." Bullitt’s Market Blog

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  5. #3

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    Default Re: Buy the Short ETF, or Short the Long ETF?

    Makes sense.

    Here's another one... Ebb does it all the time, and I've done it myself, but shorting a short ETF can be a confusing position. Being short the SDS can throw me at times. I have to stop and think about what I want to happen to the S&P as it's trading.
    -- Tom | My Trades

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  7. #4

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    Thumbs up Re: Buy the Short ETF, or Short the Long ETF?

    very close to shorting both myself...lol


    look at the trends on both sides: SSO/SDS SRS/URE QID/QLD



    long SRS, TWM, FAZ, SSO, UYM, GEX, TAN, CEF, GLD, & UNG plan to sell the shorts at 650'ish SPX

    GL@ALL
    Tekno


    * rumors of fuel strike ...may wanna fill all your gas tanks

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  9. #5

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    Default Re: Buy the Short ETF, or Short the Long ETF?

    I like using the ETF only, KISS.

    Fuel strike? How will that effect crude prices? The market is flush with oil buy not gas.

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  11. #6

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    Angry Re: Buy the Short ETF, or Short the Long ETF?

    Quote Originally Posted by etftalk View Post
    Buy the Short ETF, or Short the Long ETF?

    I notice that the ETFchart likes to short the long ETF's, rather than buy a short ETF.

    Example: If you are bearish, would you sell short SSO, or buy SDS?

    What is your preference?
    buy long side......jmho in ira u have 2 of course

    in the past liquidity was a factor

    sds had 10x the volume of sso so folks shorted sds 4 upside

    now anymore even srs has some decent volume and smaller spreads

    the cost to your acct if short an ultra short on div days can HURT REAL BAD...had a 3x ultra down pay 26 bucks a share divvy...if short u pay it

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  13. #7

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    Cool Re: Buy the Short ETF, or Short the Long ETF?

    Quote Originally Posted by Show-me View Post
    I like using the ETF only, KISS.

    Fuel strike? How will that effect crude prices? The market is flush with oil buy not gas.
    prolly drive um up


    rumor from a good source

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  15. #8

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    Default Re: Buy the Short ETF, or Short the Long ETF?

    counting on FAZ SRS TWM to make some $$$ on the coming downside

    think "IF" we have some good back to back % down days these will perform well.
    this chop chop chop chit makes the price decay a beach...we need a good flush out to SPX650.

    holding some longs to protect myself from any bo rallies...my bias is to the downside

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  17. #9

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    Default Re: Buy the Short ETF, or Short the Long ETF?

    Quote Originally Posted by Show-me View Post
    I like using the ETF only, KISS.

    Fuel strike? How will that effect crude prices? The market is flush with oil buy not gas.
    nat gas strike california


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  19. #10

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    Default Re: Buy the Short ETF, or Short the Long ETF?

    Cool, thanks Teknobucks!

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