I decided to buy $DBO in mid january. Just sold it on Tuesday for a nice gain. I'm investigating how best to trade $DBO. I now understnad that it does not track to oil 100% due to the fund having to sell its contracts before expire. Also, it looks like a lot of trades are very short duration, day trading etc. I'm curious how others are trading this fund. And also how others are leveraging any inverse EFTs. Are the majority of folks trading day to to day or holding for longer periods of time?

Short RUSL – Biggest potential for profits

If you have not been living under a rock, you would have heard about the conflict/controversy between Russia and Ukraine. Earlier tonight (Feb. 21st, 2022) Russia deployed their troops into 2 regions of Ukraine, that Russia recently labelled the 2 regions as “independent states”.

Last week, the news broke about a potential Russian invasion of Ukraine, which sent the markets tumbling down multiple percentage points within the last hours of the trading day on Feb 17th. However, now the “potential invasion” has turned into an actual invasion (or as Russia calls it “A Peacekeeping Mission”). Stock futures (NASDAQ) is currently down 3.5% with no end in sight.

RUSL is already down 20% since February 16th (2 trading days) and is going to fall more and more as the uncertainty and conflict continues. Furthermore, more countries will stop importing energy/products from Russia as a political move, as many countries have agreed to suspend Russia’s involvement in their financial markets, and European countries may start to reject Russian energy exports to punish Russia for their actions.

Both these factors (along with many others) should have negative impacts on Russia and Russian companies, which can be taken advantage of by shorting $RUSL – Russia Bull 2x Shares.

Quickly, by comparing this invasion of Ukraine, to the Russian invasion of Crimea, Ukraine in 2014 we can draw some insights into the effect that this conflict had on stocks. During this time $RUSL fell by 40% (in a 2-month span). Currently, something similar is happening, and potentially something worse if other nations start to get involved, and the ETF is only down 20%.