Investing Online

[Jiorden]

It's a Slow Friday night! It's pretty late (4am my time). But I can't sleep. When you're not working, your sleep schedule gets all F'ed up. I just quit my Job... Going back to school in the fall. NYU's MBA Program.

Anyway, in my state of delirium, I decided to take a look at the S&P500... So take what I say with a grain of salt.

Here is an annotated chart:


Based on my chart analysis, this is how I plan to trade the S&P500.

I'm prob going to buy some SSO (ETF that performs 2X the S&P500) when the S&P500 hits the 1450 support level. I'm thinking that will happen some time next week. If it bounces off of support and the S&p500 goes to about 1,600... the SSO will give me a 20% return.

If the S&P500 breaks, support I'll look to quickly cut my losses, sell SSO and buy the SDS (ETF that shorts the S&P500 2X).... I'd ride that SDS down to about mid 1300's (about a 13% return). At that point, I'd prob sell the SDS and pick up some more SSO. I honestly think the S&P500 will close higher then 1,555 by the end of the year... near 1,600. If so, the SSO will give me about a 37% return.

I was looking to do something similarly in March but never pulled the trigger. I'll prob play with it this time.

What do you think?

Jiorden

[capt_nemo]

The ETF are a lot easier to maintain, one doesn't need to baby sit them like the gems that get touted around, Good plan!!

[chuck44l]

Very interesting plan. Keep us posted and good luck.