ETF CORNER

IYR : How to trade a triple short ETF !

In don't know if some you recall this post about when to load up Triple short Real Estate DRV (Click Here) ? In this instance the call worked almost to the penny ! It was really the best case scenario for this leveraged ETF,because leveraged ETFs don't work too well in the long term ! In this instance,the key level on IYR was precise (red resistance level I picked) , the move on the downside was fast (two days) and the price decline was significant !

 

IYR : When to reload with SRS & DRV ?

Some of you want to reload on the short side in IYR (Real Estate). I would wait for IYR to get back up to the thin red line i have drawn before initiating a position in SRS (Double short IYR) or DRV (Triple short IYR) !

IYR : Real estate overbought !

IYR(real estate ETF) is way overbought and is now kissing the old fan line F1. I think there is a great probabililty that IYR will pullback in the short term towards the $36 support level . You can either buy SRS(Double short IYR) or DRV(Triple short IYR) . SRS has upside potential to $14 and DRV up to $36. Note that DRV is newly issued and does not have a full chart yet !