Hello, I’m trying to understand tax loss harvesting a bit better and thought of this strategy. If I were heavily invested in QQQ, and put say 10% of what I have in QQQ into SQQQ to work as a hedge. At the end of the year if QQQ dropped, I had a decent return from SQQQ, if QQQ rose, I sell SQQQ at a loss and can offset my QQQ gains. And vice verse if QQQ dropped I sell some of it to offset my SQQQ gain, and then move SQQQ back over to QQQ to wait for the eventual recovery.
I hope this made sense. First, does this work as a strategy? Secondly, is it a good strategy or am I missing something that makes this just stupid to do?
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