ProShares Ultra Russell2000 Value ETF (NYSE: UVT) — This leveraged ETF seeks daily investment results that correspond to twice the daily performance of the Russell 2000 Value Index. 

On Aug. 30, the Trade of the Day recommended taking a position in UVT at $19 with a target of $22 to $24. And on Sept. 29, I said that since $24 had been achieved, “it is time to take your gain and run.” Well, UVT had other plans and jumped above $28.50.

Now, with a correction in progress, we’d like to get back into this ETF at under $25 with a trading objective of $30.

Leveraged ETFs carry greater risk than ordinary ETFs. The SEC has determined that these investments are designed for short-term trades and are not appropriate long-term investments. 

The margin requirement for most leveraged ETFs is 100%, but check first with your broker before entering an order. 

Also, please keep in mind that the Trade of the Day is not a managed portfolio. You must decide where to get in and where to get out, and I strongly urge you to use stop-loss orders.

If you have questions or comments for Sam Collins, please e-mail him at samailc@cox.net.