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Strategies & Market Trends : ajtj's Post-Lobotomy Market Charts and Thoughts -- Ignore unavailable to you. Want to Upgrade?


To: Qone0 who wrote (71215)10/6/2022 12:03:32 PM
From: Sun Tzu2 Recommendations

Recommended By
ajtj99
catou1

  Read Replies (1) | Respond to of 97597
 
Yes, because over the long time the market has been going up.

In general long term drawdowns of shorting the pair has been ~30% (on par with bear markets). But a few times it's experienced 90% wipeouts.

Using a simple sell and hold would have doubled your money, which is worse than buy and hold of SPX (and *much* worse than buy and hold of TQQQ).

So this is not an easy or simple get rich strategy. But it is still interesting and at the very least should be a part of the hedging strategy.