re: Options Trading Thread

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Well, holding TQQQ long term is much much better than holding SQQQ long term. The issue with is ther TQQQ rebalances daily, and with 3x leverage, it has to borrow at 2x the Fed funds rate (roughly) to achieve its intention. During ZIRP that was fine, now it's like 10% in interest. That materiallly affects the risk reward profile of it.

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I always hope that I will never get to the point of thinking I have nothing to learn. So I really do appreciate this thread and all the various views (that includes you Frogman )

Here is a more detailed view of my history with TQQQ over the past year.

Purchased on May 15th, 2023 at $28.80
Sold it at $40.33 on Sept 8th, 2023, yes it continued up and hit $66.51 but I'm simply not marrying stocks/etfs.

During that time I sold calls and puts (once on the Wheel Method) weekly. Always purchasing back between 40% to 60%.


That might be considered long term with you guys? I don't. It's trends for me based on how I believe the economy to be looking like.

So My reasoning for purchasing SQQQ is based on that. I'm not looking to own it until retirement. I'm looking at, what I believe to be an iffy economy.

Now I'm certain there are varying opinions, but that is my reasoning for it. The dividends are just an added bonus in my view.


Feel free to be blunt and set me straight..