We track all leveraged ETFs on the market here. We computed the daily, weekly, and monthly RSI values of all leveraged ETFs in the U.S stock market. We then sorted them based on three timeframes, short term (days), medium term (weeks), and long term (months).
Here are the top oversold and overbought ETFs for 2010 for all these timeframes.
Since leveraged ETFs are evil and have caused 'buy and hold' investors hundreds of billions of dollars in losses, they are not really indicated for medium and long time frames, they really should only be used in the short term. The lists below can help you get a good indication of what is overbought and oversold, i.e, what to buy and what to sell.
The lists show the ETF symbol, ETF name, last price, and RSI7 daily, weekly, and monthly values.
These are the 2009 returns, all ETFs in one huge chart (please click to enlarge):
1. Short Term
Clearly oversold in this timeframe are RTW (Rydex Inverse 2x S&P Select Sector Technology), YCL (ProShares Ultra Yen), and an oil ultra short ETN, DTO (PowerShares DB Crude Oil Dble Short)
In the overbought category here we have YCS (ProShares UltraShort Yen), UCO (ProSharesUltra DJ-AIG Crude Oil), and RTG Rydex 2x S&P Select Sector Technology).
2. Medium Term
Clearly oversold here is RTW (Rydex Inverse 2x S&P Select Sector Technolog).
Overbought includes ROM, RTG, LTL
3. Long Term
Oversold: EEV (UltraShort MSCI Emerging Markets), CMD (ProShares UltraShort DJ-AIG Commodity), REW (ProShares UltraShort Technology)
The only overbought ETF is ROM (Powershares Ultra Technology). Again, please remember that these leveraged ETFs suffer from any longer timeframe holding. This is clearly reflected in the lact of overbought names above.
4. Top 10 ETFs based on Average RSI
Below is a list created based on te average of all three timeframes.
Top 10 Oversold:
Top 10 Overbought:
A new name here is BBD ETN (PowerShares DB Base Metals Double Long), and notice QLD (the ultra long QQQ version).
Please do your own due diligence.
Here are the ETF names, as well as their average daily trading volume:
(please click to enlarge image)