Can I short both TQQQ and SQQQ?
Trading idea that popped to my mind, probably too good to be true:
Can I short both TQQQ and SQQQ? From what I compared, it seems like a win-win in all case scenarios since both are considered terrible for holding long-term.
So I short them either by short-selling, or by some combination of buying puts and/or selling calls.
Long-term I should always win. But it seems too easy and simple.
Can anyone comment what I am missing?
I looked at the "Short Borrow Fee Rates" on:
Seems about 3%. Is that something to consider?
EDIT: I think people have misunderstood my reasoning.
Take a look at this: here a yahoo chart of both.
When sliding across the chart, you will notice that the sum of the two gains is always below 0%.
1 year performance of the TQQQ is -24%, and of the SQQQ is -41%.
So I would have made a 65% gain on both.