At 10:15am the market had open higher and moved down. It was still positive on the day but was not moving up. The rule on buying in the morning is wait until 10:00 to 10:15am to determine what the price action is. It was looking like a down day. A bit later the market leveled out and began to go up. I got in about 2 pm when it looked like the market was in deed moving up.
Happy Trading
The Trend Advantage
Tuesday, May 31, 2011
Saturday, May 28, 2011
We have a buy signal as of 5/27/2011
The Trend Advantage is now on a buy. Trade Tuesday morning if the markets continue to go up.
Happy trading
Happy trading
Saturday, May 21, 2011
Not much has changed even with all the hype in the news
An other up and down week with Little change. US markets held up better and the defensive sectors did well. Silver and gold may have settled down and may present a buying opportunity soon.
Let's review:
The Trend Advantage system gave a sell signal 5/3 and then a buy for the open 5/11. If you had blindly bought on the open you would have been sorry for the markets had a big down day. If you had waiting until 10:15 am you would have seen 5/11 was not a day to buy long and the buy signal was canceled. The ETF QID purchased 5/4 has to gain at the close of Friday but not much as this has been a choppy market.
I found a website that listed all the newly created ETFs on the market since the first of the year. I enjoyed exploring them and found some interesting. In the end I came back to my system with trading the highest volume index ETFs because the back testing shows you make money with these boring index ETF. With a new ETF you can not back test 3 or 5 years back. Stick with what works as in QLD/QID, SSO/SDS, UWM/TWM and other high volume major index ETFs.
Happy Trading
The Trend Advantage.
Let's review:
The Trend Advantage system gave a sell signal 5/3 and then a buy for the open 5/11. If you had blindly bought on the open you would have been sorry for the markets had a big down day. If you had waiting until 10:15 am you would have seen 5/11 was not a day to buy long and the buy signal was canceled. The ETF QID purchased 5/4 has to gain at the close of Friday but not much as this has been a choppy market.
I found a website that listed all the newly created ETFs on the market since the first of the year. I enjoyed exploring them and found some interesting. In the end I came back to my system with trading the highest volume index ETFs because the back testing shows you make money with these boring index ETF. With a new ETF you can not back test 3 or 5 years back. Stick with what works as in QLD/QID, SSO/SDS, UWM/TWM and other high volume major index ETFs.
Happy Trading
The Trend Advantage.
Monday, May 16, 2011
Whipped shawed again and now a sell 5/11
The buy signal did not hold up because the next day the markets opened down and continued down. So the correct action would have been, go to cash or short at about 10:00am 5/11/2011.
There have been twice as many signals so far this year then normal and a trending system does not perform as well in this environment. The markets will stop being choppy and the profits will start coming back to The Trend Advantage. Staying with a system while it is not performing is tough but in 2010 there were 12 signals and all were profitable. Also 2010 was The Trend Advantages best year.
This a long term game of making money.
The Trend Advantage
There have been twice as many signals so far this year then normal and a trending system does not perform as well in this environment. The markets will stop being choppy and the profits will start coming back to The Trend Advantage. Staying with a system while it is not performing is tough but in 2010 there were 12 signals and all were profitable. Also 2010 was The Trend Advantages best year.
This a long term game of making money.
The Trend Advantage
Tuesday, May 10, 2011
The Trend Advantage is now on a buy signal
At 10:15am today the system changed to buy. Get in before market closes today or next morning. I chose SSO & UWM this time.
Happy trading
The Trend Advantage
Happy trading
The Trend Advantage
Friday, May 6, 2011
Friday 5/6 - how real are the jobs report if the good feel does not last even half a day?
Status is current signal is Down:
Near the end of the day and we had a day were the SPX pushed up to 1354 the 61.8 retracement from the most recent low and moved down again. That would have been a great place to buy inverse ETFs or a PUT.
My inverse ETFs lost a bit today but still have gains.
Enjoy the weekend
The Trend Advantage.
Near the end of the day and we had a day were the SPX pushed up to 1354 the 61.8 retracement from the most recent low and moved down again. That would have been a great place to buy inverse ETFs or a PUT.
My inverse ETFs lost a bit today but still have gains.
Enjoy the weekend
The Trend Advantage.
Wednesday, May 4, 2011
5/4 "Sell in May and go away"
Feels like this is what is going on today.
This morning was a transition day with sell longs (some at a loss) and buying inverse ETFs. Let's hope Steve Grasso on CNBC is correct with the low on this move at 1257 SPX. This would give enough of a move to collect a gain on the inverse ETFs. So many times the inverse ETFs do make a gain during a bull market.
I started out the day with RWM which is non levered Russell 2000 index. When we get a rebound will add more inverse positions.
Looking back should have traded at EOD Tuesday. I was busy with the day job and maybe there is a way to put in auto trades.
Happy Trading
The Trend Advantage
This morning was a transition day with sell longs (some at a loss) and buying inverse ETFs. Let's hope Steve Grasso on CNBC is correct with the low on this move at 1257 SPX. This would give enough of a move to collect a gain on the inverse ETFs. So many times the inverse ETFs do make a gain during a bull market.
I started out the day with RWM which is non levered Russell 2000 index. When we get a rebound will add more inverse positions.
Looking back should have traded at EOD Tuesday. I was busy with the day job and maybe there is a way to put in auto trades.
Happy Trading
The Trend Advantage
Tuesday, May 3, 2011
Tuesday 5/3 update - Signal is SELL
A strong down day and the Trend Advantage System signal is now a SELL.
The rules for the morning are to sell your longs and by inverse ETFs if he market continues down by 10:15am. You have the chance that the markets bounces back up and give it a bit of time to determine but use your judgement as to the timing if you don't want the poor pricing at the open that often happens.
Did you remember to capture at lest half of your gains with automatic stops. Does your online account have that? It should and take advantage of that. Example if the high for an ETF is plus $3.00 then set the stop at cost price plus $1.50. Simple but you must check every day to see if the most recent high has been set higher. The high to use the highest intraday high since position taken.
Like most people I work a full time job and had no time to check the market today. If I had I would have sold my longs by 3:50pm and purchased inverse ETFs.
TWM, PSQ, SH
Happy Trading
The Trend Advantage
The rules for the morning are to sell your longs and by inverse ETFs if he market continues down by 10:15am. You have the chance that the markets bounces back up and give it a bit of time to determine but use your judgement as to the timing if you don't want the poor pricing at the open that often happens.
Did you remember to capture at lest half of your gains with automatic stops. Does your online account have that? It should and take advantage of that. Example if the high for an ETF is plus $3.00 then set the stop at cost price plus $1.50. Simple but you must check every day to see if the most recent high has been set higher. The high to use the highest intraday high since position taken.
Like most people I work a full time job and had no time to check the market today. If I had I would have sold my longs by 3:50pm and purchased inverse ETFs.
TWM, PSQ, SH
Happy Trading
The Trend Advantage
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