Why I’m shorting the Russian stock market

By Covestor

I’ve decided to change my overall strategy.

So I’ve added the Direxion Daily Russia Bear 3X Exchange Traded Fund Trust (RUSS), a negative ETF play on the Russian stock market.

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Nickel play

I’m betting the Russian stock market is going to tank big time.

Another buy is GMK Noril’skiy Nickel’ OAO ADR (NILSY).

In my opinion, the the supply of nickel is tightening, which of course would be good for this company.

Furthermore, it’s a company which produces a commodity sold in dollars but produced in rubles, which has drastically lost value.

In my opinion, NILSY was unfairly hit by the general market decline in Russia.

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The post Why I’m shorting the Russian stock market appeared first on Smarter InvestingCovestor Ltd. is a registered investment advisor. Covestor licenses investment strategies from its Model Managers to establish investment models. The commentary here is provided as general and impersonal information and should not be construed as recommendations or advice. Information from Model Managers and third-party sources deemed to be reliable but not guaranteed. Past performance is no guarantee of future results. Transaction histories for Covestor models available upon request. Additional important disclosures available at http://site.covestor.com/help/disclosures.