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BetaPro Crude Oil Leveraged Daily Bull ETF T.HOU

Alternate Symbol(s):  HROZF | HZOZF

HOU¿s investment objective is to seek daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to up to two times (200%) the daily performance of the Horizons Crude Oil Rolling Futures Index. HOU is denominated in Canadian dollars.


TSX:HOU - Post by User

Post by upmarketson Feb 13, 2009 2:40am
715 Views
Post# 15776306

past calcs and Slippage ........................

past calcs and Slippage ........................Actually Big Money that 1.056 (oil today 34.75ish) pre-rollback is inaccurate

below see Part of a post I made on Dec26:

"
Wed Dec24 bnn - R Croft suggests buy HOU at 1.70 ish ( ie 8.85 ish after R/B )
so that is from 1.95 ( Dec24) to 1.70 or down 12.8% still

now $WTIC is (Feb) 35.35 on Dec 24 (-updated end of day only )
at www.stockcharts.com ( try Gallery view - no indication of a bottom)
I finally notice this is the FEB contract ,
( actually some form of "continuous contract"?- blended)
not spot ( does a true spot today price exist?)

so $WTIC spot down 6.4% is $35.35 x 0.936 = $ 33.08 (ie R C guess)
Opps that is on that late drop ,
R C may have been thinking from about $37 earlier in the day.

(I think $WTIC can touch $29 - 31 ( or worse?) and CNBC says even lower)


so say $30 is down another 15% so HOU could drop another 30% = 1.36 or 6.82 Ouch ( say 7.10)

"

-- FEB 12

So note that $30 oil would have been about 6.82 or 1.36 at that time

Yet today $35 oil is 5.48 new or 1.09 old
( so $30 oil would be even lower for HOU )


The difference is the SLIPPAGE due to the constant daily resets
( and OK OK , some the contract rollover/rebalancing)
for past 5+ weeks , after the rollback.

You have divided it out based on today's numbers
If you guys read and post so much here how come you haven't figured that( slippage) out
since it has been mentioned so often?

In effect ( per above old post ) I have been waiting for oil to dip to 34ish in any case.
Been considering finally entering for day trades for last few days but pattern is erratic and tough to do
and you have to be right on the live feed , to speculate

Regards
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