Guys, if you want to make a lot of money trust me on this advice...once the bear is established, pick an amount you are willing to gamble with buy the "short" etf's such as TVIX, TZA, SPXU, etc....the key is the hold them for awhile...when VIX gets about 20 again these inverse ETF's will be swinging 10-20% a day and you have to be able to ride of the emotional ups and downs...but over the span of 6-12 months, you will have huge gains...I am predicting these inverse etfs will run up at least 300-500%.
But the key is the wait until the bear actually starts(obviously this will take some skill)...other thing is this, do not put up a huge part of your entire portfolio for these short bets cause the volatility will be too great to withstand...pick an amount you are willing to gamble with cause you have to be able to withstand huge swings on daily basis.
I once held 6 figure SPY puts only a month out from expiration and it was swinging 20-50% a day in 08' and I couldn't eat my lunch without vomiting!...
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