Tag Archives: UltraBull
We’ve had a delightful ride with our aggressive ProFunds over the past five weeks. Through last night’s close, UltraOTC (UOPIX) has jumped 11.2% from our purchase price. UltraSmallCap (UAPIX) is up 10.4%, while UltraBull (ULPIX) has tacked on 7.4%.
Yesterday’s panicky sell-off on Wall Street was a vivid reminder: You can’t take anything for granted in today’s stock market. Alan Greenspan delivered the gentlest of testimony before the Senate Banking Committee. He said nothing directly about raising interest rates, but assured the committee (and the world) that the U.S. banking system is well positioned to deal with any rate increase that may come along.
I’m still thinking the market may give us one last chance, in the next week or so, to buy stocks down around 1100 on the S&P 500 index. But the odds are shrinking fast. It looks as if we may have seen the end of one of the shallowest pullbacks ever in a powerful ongoing bull market.
When will this stock market �correction� be over? Monday may have marked the bottom, but more likely the final low still lies a week or two off.
Normally, the market forms an initial bottom (as it did March 11 and 15) with a great deal of downside energy. Then, after an interval of a couple of days to a few weeks, prices trace out a second, quieter bottom. At the second bottom, some stock indexes may touch new lows for the pullback, while others don’t.