What a great day for bears!
Sep. 22nd, 2011 01:23 am![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
pyesetzThis year, I have been playing "the slowest computer game ever invented". Things have not been going well for me since February, but perhaps my luck is now changing:
Warning: I do *not* recommend TZA for casual stock investors. That stuff is like plutonium: I feel like I'm losing health points for every minute it stays in my portfolio. It is almost never the right thing to buy, unless you think the stock market is already crashing.
I bought some TZA last Monday, even though the technical indicators were screaming "bull!", because the news coming out of Europe was so horrible. Within an hour after my purchase, TZA started dropping, which it continued to do all week. By Friday it was making me sick, so I bought more. As you can imagine, I did not have a good weekend. On Monday, TZA rose; on Tuesday it rose some more; today it rose a lot more—now it's worth more than I paid for it 9 days ago!
After today's meeting of the US Federal Reserve, TZA started going up rapidly, so I bought some more, even though I didn't know yet what the results of the Fed meeting were. They decided to dust off Operation Twist, named for a dance that was popular in 1961 which was the last time they tried it. The intent is to force banks to lend by drying up other sources of profit for them. The stock market is now throwing a tantrum and I think TZA will continue rising for the next two weeks or so.
My retirement account is sitting on a large wad of cash, so I *could* buy a whole lot more TZA... if I dare. The question is whether I have enough health points to complete this mission in the game. Stock trading is hard!
I am sorry that this post isn't furry, or funny, or anything. I just wanted to post that chart because it makes me look like I have a clue about stocks. Soon I will be travelling to Massachusetts again; perhaps I could write some more travelogue posts?
Warning: I do *not* recommend TZA for casual stock investors. That stuff is like plutonium: I feel like I'm losing health points for every minute it stays in my portfolio. It is almost never the right thing to buy, unless you think the stock market is already crashing.
I bought some TZA last Monday, even though the technical indicators were screaming "bull!", because the news coming out of Europe was so horrible. Within an hour after my purchase, TZA started dropping, which it continued to do all week. By Friday it was making me sick, so I bought more. As you can imagine, I did not have a good weekend. On Monday, TZA rose; on Tuesday it rose some more; today it rose a lot more—now it's worth more than I paid for it 9 days ago!
After today's meeting of the US Federal Reserve, TZA started going up rapidly, so I bought some more, even though I didn't know yet what the results of the Fed meeting were. They decided to dust off Operation Twist, named for a dance that was popular in 1961 which was the last time they tried it. The intent is to force banks to lend by drying up other sources of profit for them. The stock market is now throwing a tantrum and I think TZA will continue rising for the next two weeks or so.
My retirement account is sitting on a large wad of cash, so I *could* buy a whole lot more TZA... if I dare. The question is whether I have enough health points to complete this mission in the game. Stock trading is hard!
I am sorry that this post isn't furry, or funny, or anything. I just wanted to post that chart because it makes me look like I have a clue about stocks. Soon I will be travelling to Massachusetts again; perhaps I could write some more travelogue posts?
