UltraShort S&P500 ProShares (SDS) PriceWatch Alert Technicals Showing Bullish

Posted on Friday, September 05, 2008 8:07 AM

UltraShort S&P500 ProShares (AMEX: SDS) closed yesterday at $69.96. So far SDS has hit a 52-week low of $47.50 and 52-week high of $75.74. SDS has been showing support around 65.60 and resistance in the 72.32 range. Technical indicators are Bullish. SDS appears on the Investors Observer Select ETF and HOLDR list. For a hedged play on this stock, look at a Dec '08 69 covered call (SDS LQ) for a net debit in the $62.66 area. That is also the break even stock price for this trade. This covered call has a 106 day duration, provides 10.43% downside protection and a 10.12% assigned return rate for a 34.84% annualized return rate (comparison purposes only). [For more information on these strategies along with more details on possible risks go to www.iotogo.com/HPWAinfo]