X - I hear ya'! I thought about it real hard too. The big problem us Rydex traders have is that we can only take one shot at the market per day. You have to think 2-3 days in advance and then make your best guess. And I mean "Guess!"
Hopefully, it will continue to go down tomorrow to put more $$$ into your account. My feeling was that with all the turmoil in the world, and all the money flowing into the USA, our Government will do everything in its power to keep the market from a panic sell-off. A controlled descent is OK. The problem with tomorrow is that, if the market sells off substantially, everyone long in mutual funds Friday night, will have this bearing down on them all week-end, and then, for relief, are likely to just dump their holdings on Monday, causing another panic sell-off. It's anybody's guess what the trusted "experts" will advise these people to do. Also, foreign investors do not want to see their holdings drop any more - this could have really negative implications for future decisions on their part about investing in the USA. For these reasons, and a few more, I believe it is likely that the PPT will be buying the market tomorrow - especially towards the end of trading - to prevent the likelyhood of a panic sell on Monday.
I hope we can get this discussion going, as our unique challenges affect our trading of Rydex funds, on this thread. I think we can all learn a lot.
Best regards, Skipperr
PS - If we all can figure out the "Rules of Playing the Rydex Game" here, I think we can all win! |
