$Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL...

$Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL.US)$ this ETF has almost come down to its moving average where it will find support and if you go back to early August it has consolidated at its moving average before recovering and going towards its upper level of resistance. the sell off last week is truly geared towards rising interest rates that is 100% correlation because all of the home builders are representative in the ETF you had some lackluster earnings come out last week that caused the sell-off. there's a very good chance we will not get two rate cuts in November and December and that's because GDP is growing again we've had two consecutive quarters where it's increased and month-over-month it's increased we're over 3% and rising GDP is indicative of strong economy where people are spending which is inflationary.. chairman Powell is looking for further consolidation in GDP and it's not happening.. if you are looking to enter this sector I would tell you to buy half of your position I'm going to be nibbling at it I'll take a position probably today a little bit nothing crazy it is a very volatile group and a reversal and interest rates will send this ETF up $20 before you can blink. you need to be in it to participate in those Spike up days. typically it does not reverse after a down day which is what we saw last Friday as well as this past week you have some consolidation that takes place and then off of economic news, a movement and interest rates this sector spikes. the best case scenario upside if we were to have a series of economic data that supports the housing market interest rates declining the best case upside would be $180 on this basket so $50 about over the current price and it would be about a week and a half to two week movement in order to get there that is the absolute best case scenario. near-term downside right now maybe $10 I can see happening. again don't buy your entire position either by half of it or by a third of it in case we get a further consolidation. a further sell off.