Results of Published Model Entries and Exits for Wednesday 05/08

Find below the detailed outcome tracking of our models’ trading plans for the day, as well as the results for the last month:

NOTE: The index by itself is NOT tradable. The model plans here based on the  S&P index level can be used to trade any instrument that tracks the index – the futures on the index (ES, ES-mini), the options on the futures (ES options), the SPX options, the ETF SPY are just a few examples of the instruments one can adapt these plans to.

These plans and results are hypothetical and NOT an investment advice to buy or sell any specific securities but are intended to aid – as informational, educational, and research tools – in arriving at your own investment/trading decisions. Please read the full disclosures at the bottom of this article for additional notes and disclaimers.

Trading Plans/Forecast Published Wednesday Morning – Medium-Frequency Models

“For today, Wednesday 05/08, our medium-frequency models are in an indeterminate state and indicate staying out of the market for the day. They would continue to monitor for a daily close below the 2885 level.”

Trading Plan Results/Outcome

Wed 05/08: No trade

Past results this month – medium frequency models (hypothetical trades based on the trading plans published before markets open daily):

Trading Plans/Forecast Published Wednesday Morning – Aggressive Intraday Models

“For today, Wednesday 05/08, our aggressive intraday models indicate going long on a break above 2905 or 2895 with an 8-point trailing stop and a take-profit target of 2914. Models also indicate going short on a break below 2910 or 2900 or 2885 with an 8-point trailing stop.”

 

Trading Plan Results/Outcome:

Wed 05/08:  Booked a net -11.8 index points in losses on one long and two shorts

The S&P 500 index broke above the 2895 level around 11:05am ET, triggering a long position with an 8-point trailing stop. The index immediately reached an interim high at 2896, moving the stop trigger to 2888. The stop trigger was hit around 11:30am, closing the position with a loss of 7 index points.

The index broke below the 2885 level at 11:35am, triggering a short position with an 8-point trailing stop. The index reached an interim low at 2879.8 within the next few minutes, moving the stop trigger to 2887.80. The stop trigger was hit around 12:00pm, closing the position with a loss of 2.80 index points.

The index again broke below the 2885 level at 12:00pm, triggering another short position with an 8-point trailing stop. The index reached an interim low at 2879 around 12:10pm, moving the stop trigger to 2887. The stop trigger was hit around 12:40pm, closing the position with a loss of 2 index points.

The index once again broke below the 2885 level around 3:50pm but did not enter into a short position as per our models’ mandate.

Thus, the models booked a net loss of 11.80 (-7 -2.80 -2) index points on one long and two short positions in today’s session.  

Past results this month – aggressive intraday models (hypothetical trades based on the trading plans published before markets open daily):

NOTE: Remember that a “trailing stop” works differently from the traditional stop-loss order. Please bear in mind that the trailing stop’s trigger level would keep changing throughout the session (click here to read on the conceptual workings of a trailing-stop).

IMPORTANT RISK DISCLOSURES AND NOTICES – READ CAREFULLY:

 

(i) This and other articles in the blog contain personal opinions of the author and is NOT representative of any organization(s) he may be affiliated with. This article is solely intended for informational and educational purposes only. It is NOT any specific advice or recommendation or solicitation to purchase or sell or cause any transaction in any specific investment instruments at any specific price levels, but it is a generic analysis of the instruments mentioned.

(ii) Do NOT make your financial investment or trading decisions based on this article; anyone doing so shall do so solely at their own risk. The author will NOT be responsible for any losses or loss of potential gains arising from any investments/trades made based on the opinions, forecasts or other information contained in this article.

(iii) Risk Warning: Investing, trading in S&P 500 Index – spot, futures, or options or in any other synthetic form – or its component stocks carries inherent risk of loss. Trading in leveraged instruments such as futures carries much higher risk of significant losses and you may lose more than you invested in them. Carefully consider your individual financial situation and investment objectives before investing in any financial instruments. If you are not a professional trader, consult a professional investment advisor before making your investment decisions.

(iv) Past performance: This article may contain references to past performance of hypothetical trades or past forecasts, which should NOT be taken as any representation or promise or guarantee of potential future profits. Past performance is not indicative of future performance.

(v) The author makes no representations whatsoever and assumes no responsibility as to the suitability, accuracy, completeness or validity of the information or the forecasts provided.

(vi) All opinions expressed herein are subject to change at any time, without any notice to anyone