NEW BULLISH Plays

ProShares UltraPro Short QQQ - SQQQ - close: 11.44 change: +0.51

Stop Loss: 10.60
Target(s): 13.25
Current Gain/Loss: unopened
Time Frame: 4 to 8 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
If you think the correction is just getting started then check out the chart on the SQQQ. This is a leveraged inverse ETF on the NASDAQ-100 index. Essentially this ETF strives to produce three times the inverse of the QQQ's performance. If the QQQ drops -1% then the SQQQ should rise +3%.

It definitely looks like the SQQQ has produced a bottom with a mini double bottom in the last couple of weeks. I am suggesting a trigger to launch bullish positions on this ETF at $11.60 We'll start with a stop loss at $10.60. Our target is $13.25. More aggressive traders could aim higher.

Trigger @ $11.60

Suggested Position: buy SQQQ @ (trigger)

- or -

buy the May $12.00 call (SQQQ1219E12) current ask $0.75

Annotated chart:

Entry on April xx at $ xx.xx
Earnings Date --/--/--
Average Daily Volume = 2.3 million
Listed on April 10, 2011