my favorite ETF's change with the market situation.
When oil was at 40, my fav ETF was DBO, and OIL. Made a killing.
When economies were hot, emerging markets where in for me. Also made a
killing.
Now when economies are heading to recession.
So far I have realized gains in shorting the emerging markets.
FXP = 30% gain in 1 1/2 week and sold.
I am right now shorting DUG, and will short FXP again on the next market rally
if we make it up to 12400 or so.
Perhaps considering in shorting GSC or other commodity plays.
Those then will be my favorites.
Nothing ever goes up before correcting, and commodities are the same way.
Just watch when The euros start to reduce their interest rate, commodity prices
for the US
(ie. oil ect..) will drop since the dollar will rally.
Right now the EU are propping up their currency on the backs of the united states.
If you think about it, why invest in the US when you get paid 2-3% for your
cash. When you can invest in EU who currently pays over 5% interest for
it.
So basically, the shorting ETFs are my favorite.