A.: No, you cannot. When shorting, your potential losses are unlimited, and your TFSA account IS limited. The only two ways to short stocks in TFSA (known to me) is via buying put options or the inverse ETFs. Both are pretty risky if you don’t know what you’re doing, and even if you do…
This chart is from a week ago. 10-year returns still aren’t impressing me at all. This is why it’s important to time the market. The trick is not to get caught up in its micro-moves.
Oh and (SPY: 246.88 -0.09%) has a baddish candle today. I will generously give it another week, then it has to correct (for future reference, closed at $184.91).
Frankfurt returns are on par with the S&P 500, except for the 10-year return which is much better. Guess the German market didn’t drop as much in 2008-09. This is all despite talks of instability, and “Germany isn’t what it used to be”, high unemployment, ethnic groups taking advantage of the generous social support system etc etc.
The dogs are barking, and the caravan keeps going. A large part of the German economy is still based on manufacturing, not services. They’re in a stronger position by default.
German DAX is like DJIA in the US – 30 bellwether stocks.
(DE: 125.75 +0.12%) – iShares DAX ETF
Click to enlarge
Looking at the runaway action on (SPY: 246.88 -0.09%) and the abysmal performance of (SLW: 20.91 +1.26%), I just have to laugh at myself. I mean it takes a special kind of skill to do ALL trades wrong 🙂 The takeaway this year is – when distracted, don’t put on trades “just because”. Yes, the market and staying IN is addictive, but like drugs, it costs real money.
Thankfully, in other financial realms 2013 has been kind to me.