ClusterGains

The stock market does not always go up even in a strong bull market.  While a person is waiting during market pullbacks and horizontal action, money can still be made on the short side of stocks.  Several short ETFs are very popular today, but they should be used as trades only.  About once a month or sooner, when the market takes a downturn, some ETFs can gain five percent in a day's time.  If you are able to capture a five percent gain once per month on the short side, you will be making 60% each year, and this amount may rival whatever you are making on the long side. 

After you buy a short ETF and hold it for a few days, you should put in a limit sell order with your broker for 5% or 10% above your purchase price.  Since we never know when the market will change its course, your stock order will be automatically executed when your limit is reached, and you will have a profit for certain.  Also, there are daily fluctuations that can sometimes hit your sell limit.  This is a great way to make extra money in the stock market. 

One ETF (really an ETN) that you should buy is FAZ.  This is the Direxion Financial Bear 3x stock.  It tries to make three times your money on the downside of selected financial company stocks.  It often trades more than 100,000 shares per day, too. 

Another ETF to own is ZSL.  This is the ProShares Ultra Short Silver.  A lot of people are buying silver and silver mining stocks nowadays.  However, there will always be pullback days when you can make 5 to 10 percent in ZSL if you are ready for it.

Another ETF to buy is DZZ.  This is the Powershares Double Gold Short.  Since people are buying a lot of gold because they think inflation is coming, it is a good idea to be in a gold short ETF for whenever the market pulls back from hoarding gold.  Being prepared for downside days on gold can be another way to make money.