This is how it looks like now. I think The blue support line is important. As long as it holds, market should be fine, but we will have to be really careful if both red and blue supports break.
Price: still fine. RSI: still fine, but weakening. MACD: negative since June 2014, worrisome.
Cannot wait for it to rollover... but this is the ultimate practice for patience.
A-shot
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How will you play it?
CosmicDust
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I have a trial position in TZA (3x leveraged inverse ETF against IWM) for some time now, losing money so far... :-( Entered too early in retrospect. This thing just does not die that easily : --).
A-shot
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better late than early
CosmicDust
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Right - I think I should have waited until it rolled over... But hopefully I can still get even out of it. Note that one side effect of the leveraged ETF is that it decays as it is intended for short term trading. So for my situation, if IWM makes a new high again, there is no question I will sell my position for a loss.
A-shot
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I would not say my strategy is the best way though, but i found myself in bad situations taking decisions sooner.
CosmicDust
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Agree. Basically trade with the main trend, and do not short a dull market.