Over-Trading just to make a trade

Over-Trading just to make a trade A common question that is asked of us is: Do we have a system that trades more often! This request reminded me of another subscriber which not only is our client but has subscription with other market timers, which they trade more often than us. He has had many losses and they don’t even …

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Short Sell setup SPY, buying inverse ETFs

We may very well have another Short Sell position. This buying may dry up soon, setting the formation for another sell off. Make sure you stay tuned both by checking the Member’s Signal page and, staying alert to emails from us. You need to be member to be able to have access to our signals as well as the on …

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Here is table of the historical trades for last 5 round trip trades this year with the most recent ones in bold font: Symbol Position Signal Date Initial Stop Price Final Stop Price Entry Date Entry Price Exit/Stop Date Exit/Stop Price Gain/Loss $ Gain/Loss % SPY SHORT 09/26/2019 $299.74 $288.00 09/27/2019 $297.83 10/03/2019 $287.81 $10.02 3.36% SSO SHORT 09/26/2019 $130.00 …

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The inevitable slump and the excuse for sell-off

Here are the narratives of the reason for the slump today: The ISM’s September survey on manufacturing firms registered at 47.8%, down from 49.1% in July, below the 50.2% predicted by economists, below 50% indicates contraction. This was inevitable and the pro-traders just used the ISM report to sell. As you all know we do not care much for the news. …

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What we expect in the near future!

Today’s market rally is after an ugly Monday selloff. However, we expect any rebound to be an opportunity for setting up a short position for ourselves, with a lower risk, as opposite to entering now. Therefore, we are in preparation for the next wave of selling, We reckon that Monday’s tariff-inspired sell off, after Trump’s last Thursday announcement of 10% …

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State of the broad equity market SSO, SPY and XIU

The markets have been basically flat, directionless and consolidating toward a downward direction. Government bond yields are very low and long-dated Treasury bond prices are at the peak, indicating a high fear index. Hence, equity markets can easily go up climbing the wall of worry. I am mentioning this phenomenon simply to keep an overall perspective. At the end of …

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Risk Tolerance

Risk Tolerance At ETF Trader Advisor we have come to understand that trading is not about being right or wrong; it is about being in the game with a trading methodology that has been tested to produce a high probability of win ratio. When your ratio of win to loss is high for entering a trade, all you must do …

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Editor’s Weekly Market Thoughts – Jan 2, 2016

It is likely that 2016 financial markets will begin with high levels of volatility. Presently VIX is higher than during the strong uptrend years between 2012 and 2014. If we look back at history, higher volatility precedes bearish market declines, such as seen in the years 2000, 2007, 2010 and 2011. While higher volatility is a warning that markets could …

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Editor’s Weekly Market Thoughts – Dec 14, 2015

For almost two decades when the junk bond market and the stock market diverged; it was the junk bond market that proved observant. When junk bonds and stocks disagree, Junk bonds tend to be right. Weakness in the High yield bonds with credit ratings below investment grade and fears of meltdown have increased after high-yield mutual fund Third Avenue Focused …

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Editor’s Weekly Market Thoughts – Nov 16, 2015

There is a strong belief that the Fed will hike interest rates in December 2015. So far any rally has been basically about the large-cap stocks. The next stage of any rally needs to be driven by higher beta-growth stocks. The small-caps have largely underperformed since June. Bulls like to see small-cap growth names doing better than large-caps, as it …

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