ProShares Ultra S&P500 ETF (NYSEARCA: SSO ) may be a profitable swing trading instrument, but the 2X leverage factor is a source of drift. This article explains what "drift" means, reports it for 22 leveraged ETFs, with a focus on SSOFred runs the investing group Quantitative Risk & Value where he shares a portfolio invested in quality dividend stocks, and companies at the forefront of tech innovation. Fred also supplies market risk indicators, a real estate strategy, a bond strategy, and an income strategy ...

Leveraged ETFs like the ProShares Ultra QQQ ETF (NYSEARCA: QLD ) are really interesting to analyze. The relationship between the equity component and the derivatives layering can, at times, be symbiotic, and at others, parasitic. Choosing to own that type of asset requires significantly more due diligenceI have been a keen student of the markets for several years now. I love studying how companies grow over time, what value they deliver to their stakeholders, and projecting long-term value as an investment ...

In a recent Market on Close livestream, John Rowland, CMT, tackled a question on natural gas into year-end — and his breakdown is one traders won’t want to miss. Right now, natural gas (NGX25) is stuck in a sideways range near $3.20. But John sees the potential for major movement in either direction as we move deeper into winter. More News from Barchart Key Price Levels Upside targets: $4.50–$5.00 as base case, with a possible spike toward $6 if catalysts hit Downside floor: ~$2.85 as near-term supp ...

While 2025 thus far has been all about headlines regarding AI stocks and semiconductor ETFs, one of the year’s most sensational performers comes from a category few would anticipate: gold miners. The MicroSectors Gold Miners 3X Leveraged ETF (NYSE: GDXU) has risen more than 470% year-to-date, making it one of the top-performing ETFs in any category.GDXU has been a star performer this year. Track its prices in real time.Unlike bullion-backed funds, GDXU provides triple-leveraged exposure to the NYSE Arca Gol ...

Core Viewpoint - The introduction of the Leverage Shares 2X Long COST Daily ETF (NASDAQ:COTG) aims to provide investors with double daily exposure to Costco Wholesale Corp. (NASDAQ:COST), capitalizing on the company's strong performance in the consumer spending sector [1][3]. Group 1: ETF Overview - The new ETF was listed on September 18 and is designed to offer 200% of Costco's daily performance, both gains and losses [1][3]. - The fund features an industry-low expense ratio of 0.75% for single-stock leveraged ETFs, targeting active traders interested in short-term fluctuations [4]. Group 2: Market Positioning - By including Costco, the ETF diversifies beyond technology giants, reflecting a strategic move towards consumer-oriented sectors [2][5]. - Costco's business model, characterized by low-cost and high-volume sales, positions it as a reliable indicator of consumer demand, especially in an inflationary environment [3][5]. Group 3: Investor Sentiment - The ETF is expected to attract investors looking to leverage Costco's loyal customer base and its potential for growth in the bulk-buying market [2][6]. - Themes ETFs' Chief Revenue Officer highlighted Costco's fantastic growth and customer loyalty as key reasons for the ETF's introduction [4].

“Volatility comes with the territory, but I’m comfortable.” Retail traders in Hong Kong are increasingly behaving like their US counterparts as they bet big on risky leveraged ETFs. https://t.co/IoVzhoNMmY ...

Talk to me about this. Talk to me about this new push into dividend investing by Gen Z investors. In your in your mind, are they doing it right with these leverage ETFs, these options, and etc. I think some of them are and some of them aren't.And I had a very interesting conversation last week with a guy named Eli Bree who runs a website called Dividendology. And he's trying to give that Gen Z Group guidance to say be very very careful about the highly leveraged dividend ETFs where you look at it and you're ...

Core Viewpoint - The U.S. Federal Reserve is expected to implement a 25 basis point rate cut, which could positively impact the market, particularly benefiting four specific sectors [1]. Group 1: Home Builders - The recent decline in the 30-year mortgage rate is encouraging for home builders, as lower rates can attract prospective homebuyers and stimulate the housing industry [2]. - The Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL) offers 3x exposure to home builders by tracking the Dow Jones U.S. Select Home Construction Index [3]. Group 2: Small Cap Stocks - Lower interest rates are anticipated to support a rally in small cap stocks, as these companies often rely on financing, and reduced rates will lower their financing costs [4]. - Traders can consider the Direxion Daily Small Cap Bull 3X Shares (TNA) for 300% exposure to the Russell 2000 Index, which represents small cap stocks [5]. Group 3: Emerging Markets - A weaker dollar due to easing monetary policy creates a favorable environment for emerging market assets, which are typically supported by the strength of local currencies [6]. - The Direxion Daily MSCI Emerging Markets Bull 3X Shares (EDC) provides 300% exposure to the MSCI Emerging Markets Index, encompassing large- and mid-cap securities across various emerging markets [7]. Group 4: Financial Sector - The financial sector stands to gain from lower interest rates, particularly companies that generate revenue from loans and financing, as lower rates can stimulate consumer borrowing [8]. - Traders may look at the Direxion Daily Financial Bull 3X ETF (FAS) for 3x exposure to the Financial Select Sector Index, which includes a broad range of financial services companies [9].

Core Insights - High mortgage rates and slow demand have hindered a homebuilder rebound, but early signs of a rally are emerging, potentially aided by a more accommodative Federal Reserve [1] - The National Association of Home Builders (NAHB) reported a plateau in builder confidence in August, following 16 months of negative trends, prompting calls for lower interest rates [2] - NAHB Chief Economist Robert Dietz emphasized that housing affordability is crucial for economic growth and inflation, advocating for a reduction in the federal funds rate to lower financing costs for housing construction [3] Industry Trends - Homebuilders experienced a post-pandemic rally that began to decline ahead of the 2024 presidential election, with the S&P Homebuilders Select Industry Index and key companies like DR Horton and Lennar Corp. showing a downward trend for much of the year, although they have rallied since April [4] - Mortgage rates are beginning to decrease, and single-family housing statistics are improving, indicating potential recovery in the housing market [3] Trading Opportunities - Traders optimistic about the homebuilder sector can consider the Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL), which provides 3x exposure to the Dow Jones U.S. Select Home Construction Index, encompassing various companies in home construction and related sectors [6] - Another option is the Direxion Daily Real Estate Bull 3X Shares (DRN), offering 3x exposure to the Real Estate Select Sector Index, which includes firms involved in real estate management, development, and investment trusts, excluding mortgage REITs [7]

These 15 funds lost billions in shareholder value over the past decade, even during a bull market. Discover which leveraged ETFs, commodity funds, and specialized categories lost investors the most money. https://t.co/DvTOWbvDLe ...