I saw several posts regarding AGQ in the latest blog entry and figured I'd create a place for those of us are getting burned to bitch.
I went all in when AGQ was at $200 last week and am currently about 50% down.
I'm currently counting my blessings that I wasn't trading on a margin and have no immediate need for the funds. I'm going to ride this out until I make my money back or the value of my holdings is so miniscule that I can spend it all on one night out at a strip club.
What do you mean "all in." You can't be serious you put all your investment money into a leveraged ETF?
I hit it first at 100, but will ladder in more from time to time if it starts to get exhausted in a support area. Timing the market doesn't work and I think the volatitiliy will continue to get crazy...$5, $10 moves.
I mean exactly that. I whole heartedly agree that it wasn't the smartest move and I am by no means an experienced trader. I do know that this will make me much more cautious in the future if I even continue to trade in this manipulated market.
What's done is done. I simply wanted to make a thread for others who are feeling like idiot for buying AGQ to know they are not alone.
AGQ is a succubus who lures you in, makes you feel special, then breaks your heart. Feel free to hook up with her, just don't fall in love and over-commit.
Fall in love and over-commit I did...
I tried to make her an honest woman... I wanted to marry her and start a family... Maybe buy a house with some of her dowry.
She ended up tying me to the bed on our wedding night and grabbing a 12" strap on.
You held for three consecutive gap down days? I'm in and out of AGQ and ZSL often but rarely hold either for more than a day. I use margin but NEVER keep a margined position overnight in AGQ or ZSL. They are among my faves for quick trades.
ive also got a small handful of agq with a cost basis of 200$.. im looking to breakup with this whore on any strength.
you are not alone.
You have to have the discipline to get out, not so much to get in. Anyone can get in. The 96 to 128 or so move was excellent, but you have to balls to sell when you turn 25% not wait for a 50% miracle and end up back at 10%. Let alone try to time it all which is just silly. Let the market come to you.
Definitely not an expert here, just sharing my experience.
With AGQ and ZSL (and pretty much everything else, too) it is important to have a plan when you initiate the buy. I have a sell price in mind when I buy and usually put in the sell order as soon as my buy is filled. Bought ZSL this morn at 15.93 and was only looking for .50. As soon as my buy was filled I put in the sell for $16.43. A quick $500 profit and I'm probably done for the day. Will visit the trading desk again at about 3PM to see if anything is looking tempting for the close. In this choppy market it can be wise to get in and out quickly and take your profit while you have it. I can't fathom a trading plan that allows you to sit through three gap down days in a row.
I did have a sell price in mind. I bought in at $200 and was going to sell at $220. It almost reached it last Thursday... Then shit hit the fan and got out of control real quick.
I started a new job this week and have very little access to trade during the day so I feel I have little option but to ride this out. I realize now that trading AGQ as if it were a mining stock isn't the best approach but it is what it is. I'll just have to take it like a man and hope for the best.
Thank you guys for all of the input.
That worked in Feb through Apr of last spring, but I've learned that was the exception, not the rule.
Well, I am guilty for buying this baby in the $200 too... But I am going to keep it and ride this out. Yup, its a good lesson... This vehicule should be a in and out but all of us who are not doing this as a living, can't trade this as much.. The silve market turned around soo fast... Seems like we don't have time to react... It hurts but i will have to be patient on this one...
The silve market turned around soo fast... Seems like we don't have time to react...
AGQ and ZSL are the silver market on steroids. The silver price is volatile but when amplified times two I won't leave my trading desk to go the the bathroom if I have money on the table. AGQ and ZSL demand vigilance. If you can't be focused on the price movements as they are happening, AGQ and ZSL are potentially disastrous for an account balance. The volatility is wonderful for those of us able to make quick trades. To trade AGQ and ZSL I am watching a one hour silver chart where I draw trend lines, and I am simultaneously watching live one minute charts for gold, silver, crude, the dow, the EUR:USD. Also watching the 15min silver chart where I monitor moving averages, the RSI, MACD, volume and stochastics. The charts for AGQ and ZSL are, of course, in the mix as well. In my more obsessive compulsive moments I also need to check the money flow index and the true strength index before making a buy. A lot of chart action to keep track of but I need it all to be comfortable with entry and exit points. If I had to sacrifice any of it I wouldn't even bother trading AGQ and ZSL. I only trade them when I'm feeling in the pocket. Any uncertainty keeps me a spectator. I rarely hold them over night because of the penchant for gaps up or down.
Sold it all at $107. I'm left with half in my brokerage account than I had before the massacre.
I'm spending the weekend reading books on trading and drafting a set of rules by which I will follow with future trades. Moving forward stops will be used and set at the time of purchase to prevent my emotions from allowing me to ride the stocks down.
I messed up big time and lost half my money... but if this means in the future I will be a much more successful trader and be protected from future losses then its money well spent.
I've sworn myself off of AGQ for the time being. Silver and gold are tracking the market, which is bad enough, but any positive overnight moves in gold and silver seem to get killed the instant they reach US soil. I'd rather trade SRTY/URTY if I'm going to use anything that tracks the market.