Etracs Monthly Pay 2Xleverage (MORL)

[pete807]

The trend back toward the yearly high of $19 is underway with monthly .033 June payment coming on the 20th. The 3 month cycle will peak again in July with approximately .70 and should attract traders that don't hold this ETN to capture the larger dividend paid every third month.
While these products are not recommended for holding as the risk and volatility are amplified... in spite of that statement by the brokerage, I have held this one because of the overall general uptrend in the market.

Simply stated, there is a compounding effect associated with the daily resets which makes the performance unpredictable for holding overnight. However, sometimes this daily reset means that the funds will do better than their multiple would suggest if markets trend steadily in one direction without reversals, but this is the exception.

At some point it will be time to sell and reset.. the trick will be to see it coming. A year ago I began the position @ 14.03. Added @ 14.94 & 15.34 so along with the yield of over 18% the 22%+ appreciation makes it a good hold choice for the past year imo.
GLTA!
-pete