Find an Options Broker | Log In | Register

Short the Market: 9 Ways to Profit From the Market's Fall

Teeka Tiwari, June 29, 2009 Free Trading Guides

Learn how to DOUBLE your money from stocks that go DOWN!

#3 ProShares UltraShort Dow30 (DXD)

This is an UltraShort ETF on the Dow 30. The word "ultra" means that this is a leveraged ETF. That is, it seeks to deliver 200% of any move in the Dow. Because it is a short ETF, if the Dow goes down 1%, DXD will move up 2% and vice versa.

You can also trade options on this ETF, and you would use call options on the DXD if you believed that the Dow was going lower. Be careful, though, because leveraged ETFs are really meant for day traders and experienced market participants.

Next: SPDR S&P 500 (SPY)

« Previous | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | Next »

More By This Expert

The Difference Between Winning and Losing Traders

For all the strategies and opportunities out there designed to make us the profits of our dreams, most times it's not the strategy that fails us, but rather the trader behind the trade.

8 Easy Ways to Boost Your Profits

I have eight tips aimed at making you a stronger, more confident and, most importantly, more profitable investor.

How to Simplify Your Investments

Learn how to narrow your trading focus and discover the six sectors you should be focusing your energy -- and money -- on now.

Stocks vs. ETFs: What's the Better Investment?

When faced with the choice of owning an individual stock or an individual ETF, there is a clear winner almost every time.

How Much Money Should You Risk?

Make sure that you never make the classic -- and expensive -- mistake of over-leveraging yourself by utilizing my 3% rule.