Price of SOXS since inception. Price in 2012 is not a typo.
Adjusted for reverse splits, shares declined from 11.1m to $3.
Eleven million, one-hundred thousand dollars became three dollars in twelve years.
Bear etf funds do not contain equities. They consist entirely of futures contracts, which suffer time decay and expire.
This is the effect of time decay on short sale of futures in a rising market.
Can you make money on SOXS? Sure, if you buy it the day before a crash. Good luck with that!
Other lousy ETFs include UVXY, SPXS, TZA, SDOW, SQQQ.
But Sawbucks, just last month you posted you were buying some of those?!
Yes, you buy them when market is extreme overbought condition and hold for no more than a week. One day is often long enough.
These are NOT investments, they are purely speculative high-risk instruments. After just a week in these etfs you can notice the time decay, you will see index return to a price it held last week, but the bear fund will be a nickel or even a dime less than it was at the same price.
DO NOT HOLD LONG-TERM!!
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Just looking at this wondered how it's doing in all this bullishness... got pretty weak eh?
T-bills paying 5% would be a better place for cash imo.
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Just revisiting this idea to see how SOXS is doing on a really bearish day... unchanged it seems. Because the time ran out of it even though price moved favorably, an investor in this etf got breakeven at best.
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Flushed it in three green candles. Useless to speculate in this ETF.
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Market tanked off 5% over a week and this moved 50c. Yes, adjusted for reverse 1:10 split went 3.60 > 4.10. During the same time, a $3 qqq put option went 500%. Time to gtfo imo.
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See how these lousy ETFs take ur tendies? SPXS is another dog that don't hunt. Even when it dumps these only gain nickels and dimes, when it pumps they piss money away.
In a bull market these are disastrous. It is possible to make something on it, if you buy them at the exact moment before a big flush. That only lasts for a day or two, then they go back in the crapper.
Even in bear markets timing is critical, you lose so fast. You get a 300-pip BTFD rally it just smokes these things. been there, done that, good luck!
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Smoked, redux. Look how all the bear ETFs melted down. These might actually print when the upper Bolly band is reached. Soon. Timing is all.
thank you for reminding me, I knew better but was foolishly holding and went ahead and sold for 6k loss
DaddySawbucks
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@kimberlyjenkinsward, sorry for your loss, it only gets worse. i never touch this POS
ObamaBinLyin
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SOXS is risky/speculative but buying into the Semi bubble isn't risky/speculative?
Schmitty69
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Daddy BOOMER sawbucks! I love watching you squirm. I love the sweat on your fingers as you type. I love watching you squirm. I don’t have a position.
The_Unwind
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Mr. Sawbucks Your "analysis" and comments on SOXS is "Premature E"....... It is up 6 % today, in a very down market after CPI Confirm... Inflation Rages On ! Tech stocks HATE INFLATION. It reduces their bubble valuations going forward. This is not a "roulette wheel chance. Your comments as a trader are appreciated, but they change like the weather. Calm it down. Look at the bigger picture. Big Money moves. PS If NVDA closes below 830 Daily twice, then a potential significant market top could be in for 2024. Best of luck.
DaddySawbucks
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@The_Unwind, Well yes and no, if you bought it a month ago for $3.45 today you got your money back. If you bought it this week for 3.25 you made a quarter. All about the timing, it's gotta be perfect... if you bought it nine years ago for 1.45M, you got $900 left. Yep could be topped here, see if they BTFD, again.
DaddySawbucks
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@The_Unwind, I sure hope you sold my friend cuz NVDA is $900 again and this just got flushed, again...sigh.
The_Unwind
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Mr. Sawbucks, Good to see you back again. I was starting to wonder... My counterpoint to your otherwise excellent post above is simple.
The "leverage ", key word, combined with deep institutional liquidity, make SOXS an almost perfect speculative short "bet", on all things NVDA bubble.
Todays closing price on SOXS,3/12/24 is 3.10, prior to the next reverse split on the horizon. Check back with me in 6 months,.. to see what I'm talking about. :)
DaddySawbucks
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@The_Unwind, Agreed. You can make bank on these risky etfs, but only when you time entry and exit perfectly, a feat beyond the ken of mere mortals. Now might be the time!