Ultra Short Financials ETF Bouncing from Lows
by Sam Collins 03/18/09
ProShares Ultra Short Financials ETF (SKF) -- This Exchange-Traded Fund (ETF) seeks daily to achieve results that are twice the inverse of the daily performance of the Dow Jones U.S. Financial Index (DJUSFN).
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These shares are highly volatile. Since the market low on March 6, SKF has fallen from $268 to $128. But the recent stock market rally has been led by the financials, so any resumption of the downtrend should have a multiplier effect on the inverse Ultra Financials.
The short-term target for a trade in SKF is the mid-point of the recent decline at just under $200. As always, when trading the inverse funds place stops at points that will protect against extreme losses.
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Sam Collins is a registered, fee-based portfolio manager who may be contacted samailc@cox.net. You can also check out an archive of some of his most recent market outlooks by clicking here.
ProShares Ultra Short Financials ETF (SKF) -- This Exchange-Traded Fund (ETF) seeks daily to achieve results that are twice the inverse of the daily performance of the Dow Jones U.S. Financial Index (DJUSFN).
More Trader Alerts
These shares are highly volatile. Since the market low on March 6, SKF has fallen from $268 to $128. But the recent stock market rally has been led by the financials, so any resumption of the downtrend should have a multiplier effect on the inverse Ultra Financials.
The short-term target for a trade in SKF is the mid-point of the recent decline at just under $200. As always, when trading the inverse funds place stops at points that will protect against extreme losses.
Get Sam Collins' Daily Trader's Alert e-mailed straight to your inbox each morning before the opening bell absolutely FREE!
In addition to getting instant access to his Trade of the Day, you'll also receive, in the same e-mail, his Daily Market Outlook so you can start your day off right by positioning yourself for profits!
Click here today to sign up today for Sam's FREE Daily Trader's Alert!
Sam Collins is a registered, fee-based portfolio manager who may be contacted samailc@cox.net. You can also check out an archive of some of his most recent market outlooks by clicking here.
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