Extreme Levels of Noise and Sharp Spikes – Hazardous to Trade! “Limit down” and “Limit up” have become almost daily occurrence these days. The sharp and violent spikes in either directions make it hazardous to trade or invest. Unless you are required to trade (professional trader? obsessive compulsive trader?), better to sit out the markets...
The Bear is Officially In! With the Dow officially entering the bear market yesterday, it’s no wonder the other indices joined it with the overnight futures down big…hitting the rare “limit down”. The 11 year bull market is now officially dead, and for most investors/traders this is a new territory to navigate. Unless some unexpected...
Be Careful with Bull Traps and Bear Traps! Yesterday’s headlines-driven (“fiscal stimulus to the rescue”) rally fizzled out in the overnight futures market. It may be another wild day, with wild spikes in both directions…trapping under capitalized traders into deep draw downs and stop losses. Unless you are a professional trader with well capitalized accounts,...
Coronavirus, Oil Price, Plummeting Yields, Economic Stimulus Promise…Chop Chop… (trading plans effective from 9:45am ET) It is not a given that economic stimulus can help with the demand side shocks to the economy nor with a health crisis/pandemic. Retail traders need to be very cautious in getting sucked into the mini-rallies that can only prove...
Oil Price-war Joins Coronavirus in Chopping The Markets! Our last trading plan published Friday morning said: “Since turning bearish on Friday’s (02/21) close, our models called for a test of the 2850-2880 level which was already tested and then meaningfully bounced back. These lows could be open for testing again today or on Monday!”. As...
Results of Published Model Entries and Exits for Wed 01/09 After breaking the winning streak of seven consecutive profitable days yesterday (Tue 01/08), our medium-term models realized a second day of losses today (Wed, 01/09) with a net loss of 12.20 index points. Our aggressive intraday models continued broke their winning streak of nine consecutive (more…)
The Fed Meeting Minutes and China With Fed Meeting minutes scheduled to be released at 2pm EST, the markets have two main levers today that may be pulled either way, depending on the dominant side (bullish/bearish). Beyond the spin, market strategists would be closely watching the Fed minutes for re-inforcing/re-interpreting the tone of Powell’s speech (more…)
Results of Today’s Published Model Entries and Exits Our medium-term models broke the winning streak of seven consecutive profitable trading days by booking a loss of 5.18 S&P 500 Index points today, and our aggressive intraday models continued the winning streak of nine consecutive profitable trading days by booking a profit today of 3.54 index (more…)
China, the spin, Continues… Our medium-term models continued the winning streak on Monday by booking 18.00 S&P 500 index points in profits, and our aggressive intraday models booked 23.00 points in profits, simply by mechanically trading the pre-defined entry and exit points as published in our trading plans before the markets open. This marks four (more…)
Today’s Published Mechanical Trading Entries and Exits netted +23.00 index points and +18.00 index points Our medium-term models continued the winning streak of seven consecutive profitable trading days by booking 18.00 S&P 500 index points in profits today, and our aggressive intraday models continued the winning streak of eight consecutive profitable trading days by booking (more…)
