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Time to take a look at short-leveraged |
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Released on Monday, September 12, 2011, 5:00 PM ET
Pittsburgh, PA (SpeculatingStocks) -With the global economy what it is today, where should one even look to sock away a large chunk of cash without risking losing it all? That's precious retirement savings we are talking about!
One great way to diversify against possible downturns in the market or a double dip is to partially diversify your portfolio in short-leverage stocks. Further still, why not diversify within short-leverage securities?
ProShares and Direxion seem to be some of the only securities in the green these past few days, and that's because they have developed virtual ETFs which short the entire market.
If you would like, you can even go short with them on the global markets—and with the European markets in disarray because of Italy, Greece, Spain, and Ireland that might not be such a bad idea.
This will help insure that of your other stocks are taking a dip to reflect the current anxiety on the market because of the European debt crisis; you may even-out or even supersede those losses with profits in the short-leverage securities sector.
Direxion Daily Financial Bear 3X Shs (NYSE: FAZ) was trading at $61.22 a share at the close on September 12th, 2011. FAZ is trading right within its 52-week range of $37.05 per share to $81.50 per share.
ProShares UltraShort S&P500 (NYSE:SDS) looks for stocks within the S&P 500 portfolio to short on a daily basis. At the close it was trading at a nice $24.55 per share with a 5.15% gain for the day.
It is important to note that short-leveraging, even ETFs are not good long-term investments because the market will always holistically trend upwards, but if you are experiencing a bad day, and the entire market is looking down, why not try short-leveraging—you might just like it.
Track foreign markets in our "Overseas Markets" section within our SpeculatingStocks Pre-Market page.
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