General Stock Ideas

[bigworld]

HC: TZA is a short ETF of the smaller cap stocks, supposedly a inverse fund tracking the Russell 2000. The Russell 2000 and the Nasdaq were doewn more in percentage terms than the DOW, thus the bigger move. I sense the market wanting to pull back here. Watch for the 50 day moving average to cross the 200 day moving average. When that happened in late 2008 it eventually led to a pretty big pull back. I think we'll get a nice run for our TZA. I'm looking for it to cross the $10.00 mark if the S&P drops below 1000, becasue then higher beta small cap stock will fall even further in percentage terms. The S&P rose about 80% from its March 2009 low of 666. The Russell rose 117%. In any subsequent pullback the stocks that rose the mose will fall the farthest, which is why I've concentrated my short positions in TZA, with some BGZ and FAZ thrown in for a little balance.