HXD and HXU, Jan 2010

Some brokers will give you a list of 50 or 60 stocks that will do very well, from banking to mining, from wheat to uranium and from green to smokestack. All this is unnecessary, you really need only two to make the most, and . If done properly this will earn you a lot more than anything else. Back in late 2007 I argued for buying the at $8 for a double, well before it even reached that price. Lately, and way too early I have advocated buying the . Here they are, (U is UP and D is DOWN, both 2x- and , by the way , in some firms your broker will have to be option licensed).

HXU Jan 2010 HXD Jan 2010

Alternating between these two is all one needs to do, of course with the proper discipline. Now it is the turn for the HXD, it will probably pull back a little Monday from its high of 14.15 or so but it should reach at least $19/20 , and probable much higher. Then it will be the turn for HXU again. ( and are equally good if you want to play the S&P on a currency neutral basis.