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883411 No.883411 [Reply] [Original]

I've read the some pro investors sometimes bet or short sell against the stock market and earn big $$$ when it tanks.

So just how do you go about doing this? The only options I can see on my online brokerage account is buy or sell...

>> No.883420

>>883411
You need a margin account in order to short sales. You can also gain short exposure by buying put options.

>> No.883813

you buy bear market futures

>> No.883823

Futures.

>> No.884448

Inverse ETFs are another way to short the market. You should be aware that leveraged ETF (2x and higher) have decay so aren't really a long term buy and hold trade.

>> No.884482

>>883411
>leveraged ETF (2x and higher) have decay
What this guy said. And those aren't very liquid to begin with.
Shorting requires a margin account, more financial scrutiny from your broker.
Futures trading requires even more.
All of this is because, unlike a traditional position, these can lose you more money than you put in, potentially putting your broker on the hook for a shitload.

>> No.884483

>>883411
buy put options

tbh these days the easiest option is buying an inverse ETF

>> No.884485

>>883411
do what the cool kids do and open up a margin account to buy put options on 3X leveraged inverse ETFs.

>> No.884487

>>884485
>do what the cool kids do and open up a margin account to buy put options on 3X leveraged inverse ETFs.

Correction, I meant 3X leveraged bull ETFs

>> No.884565

>>884448
How long does something like 15x last?

Assuming I want to gamble $1k, would it be worth it putting that money into a x15 bear ETF on friday the 11'th (or perhaps thursday night, if friday looks like a sideways/down day)? I know it's a daily "investment vehicle" or whatever the fuck, but assuming it isn't going to go much further up, I should make my money back and then some, no?

>>884485
>>884487
>margin account
>3X leveraged ETFs
you wot m8.

>> No.884566

>>884565
i mean if you want to invest in something as risky as 15x leveraged etfs, might as well go all out, what's more exciting than 3 layers of leverage?

>> No.884575

>>884565
>Assuming I want to gamble $1k, would it be worth it putting that money into a x15 bear ETF on friday the 11'th (or perhaps thursday night, if friday looks like a sideways/down day)?

You'd be as well putting it on a fucking horse.

>> No.884778

>>884565
>How long does something like 15x last?
Maybe you make some $, but you won't be able to buy shit worth of shares with 1K. And slippage on these ETF's will eat up even more of your profit, assuming there is any.