DivFade Worked, Tradeus Interruptus - LINE RAD TZA TNA
The Divfade worked faster than expected on Lin Energy (LINE). Between the dividend and the share price appreciation, return was .86% for a one-day turnaround.
I watched TZA climb climb and fall with the market nerves this week. I set a $16.87 limit price. Though it is up about 6.9% in 10 days, I think it is poised to go higher with so much talk of a correction.
Rite Aid (RAD), on the other hand, I should have let go at $7.42. I set a higher limit, thinking I would catch any market surprise at the opening, or would adjust once I had some data. My day was otherwise occupied, and it nearly sold, but not quite.
DateIn Tick Name Cost Price P/L %Yr DateOut Held 7/8LINELinn Energy LLC Units$32.50$32.590.86%313.71%7/917/9RADRite Aid$7.32 ...............6/30TZAProShares Ultra VIX Short-Term Futures ETF$14.16 ...............
TZA converging with TNA (comparison line, in gold)
Other capital is tied up in longer-term positions, and some in TZA, TNA and UVXY, which will take time to recover. TZA and TNA have converged, like they did in mid-June. This makes the leveraged pair trade strategy slower and less profitable.
