Wt Nat Gas 2x Discussion Threads

[andrewbaker] 26/2/2009 12:50

Best to buy leveraged funds once the uptrend (long or short) is established, as the math doesn't favour these on down days. I think more downside yet, so just watching for now. I actually don't always take my own advice: I bought LOIL a little prematurely, and hoping now that the upturn will last long enough to prove me right. lol.

Also: all ETF Securities leveraged funds are backed by AIG as counterparty, and although they deposit collaterol with Bank Mellon New York on a daily basis, if AIG goes belly-up next week (with Monday as crunch day), it is not 100% certain that investors would get back the price at which their holdings were valued at that time. So, I'm wary at the mo re ETFS ETF where AIG is involved.

[notanewmember2] 24/2/2009 13:41

The chart is not mine, Perhaps we're going to bounce at 4? Low risk buy I'd say, but I m not 100% confident to commit large sums here, especiall the leveraged fund.

[andrewbaker] 18/2/2009 11:33

Still some way to come down. Support drawn on your chart suggests a low of 3. Incidentally, your time axis shows 5-yr periods with four intermediate check-marks between?!

[notanewmember2] 13/1/2009 09:39

Buy at these levels?

5.5

[maximoney1] 01/8/2008 07:57

Beware the contango effect.....newbies beware...





This explains effect quite well



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