Trading must go on, long or short

In order to feel confident that the stock market fundamentally has found a bottom, three criteria must be met: The viral spread in the United States must begin to slow, so that the ultimate economic impact of the virus and containment efforts can be understood. There must be evidence that extraordinary measures taken by the Federal Reserve and Congress to …

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The purging has only just begun

The 2020 meltdown has already earned a spot amid those high-water marks. In fact, it’s already in a league of its own. Don’t bet on a V-shaped rebound once the stock market’s coronavirus-driven plunge finally hits bottom. Before the market can get on the road to recovery, the current bear market needs to run its course. The average S&P 500 …

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Equity Market haven’t bottomed yet

We don’t think today’s rally of 1000 plus points in Dow is the turn around. Choppy markets and investors getting whipsawed is the way of trading for now. Professional day-traders are having a blast. Last month global Covid9 outbreak ended the market’s old “buy-the-dip” dynamic. Then on Monday, crude oil price war between Russia and Saudi tanked the markets and …

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Markets Have to find a floor before buying starts

During every period of stock market losses, financial pundits tell you to buy as much stock as you can because everything is on sale. It’s too soon to know if the recent global market roller coaster is a blip, an overdue correction at the end of a historically long bull market, or the beginning of a full-blown global recession. It’s …

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We have short term set up coming

The chaos from the virus has made the market implode. From a technical point of view this is too much too fast. There is a bounce coming. Long term, the virus may take the market much lower. But there is no reason not to profit from the situation now. As soon as the market find a base, our systems will be issuing a …

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High valuations, and overdue market correction

This sell-off has more to do with overvaluation than the economic impact of coronavirus. There is a much wider set of anxieties around stock prices. The virus fears will have longer-term economic impact due to china’s slowdown. But for now, we are focused on taking advantage of a long position and exploiting and taking advantage of the herd running for …

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We admit missing the January rally

So, ETF Trade Advisor and Eric missed the January rally. Our bad, and we admit it by taking full responsibility. Lessoned learn and it should not happen again. I must say that we miss-read the power of the recent rally by a long shot. These days the market vividly remind me of the 1999-2000 feeding frenzy. We all know what …

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Looking forward to the year ahead

“Uncertainty” was the word that dominated the U.S. and global economic landscapes in 2019. The anxiety about a U.S.-China trade war and uncertainty about Brexit was the fear of 2019. Indeed, the pervasive unease roiled global financial markets, and eventually led to a wave of interest-rate cuts by central banks. The cuts had a calming effect on the chaos. Now, …

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Market is presently in an undecided position

At ETF Trade Advisor we constantly run our algorithms and use our trading experience of over 30 years to find entry and exit positions and to set risk control stop prices. Last week we were getting ready to enter into short positions, but we were not getting sufficient confirmation and, rightly so. This week market is undecided, and it keeps …

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Our most recent results for SPY and SSO

Symbol Position Signal Date Initial Stop Price Final Stop Price Entry Date Entry Price Exit/Stop Date Exit/Stop Price Gain/Loss $ Gain/Loss % Cumulative Gain $ Cumulative Gain % SSO LONG 10/29/2019 $130.50 $140.00 10/30/2019 $133.77 11/20/2019 $140.00 $6.23 4.66% $1,545,980.42 15359.8% SPY LONG 10/29/2019 $299.70 $310.50 10/30/2019 $303.43 11/20/2019 $310.50 $7.07 2.33% $172,408.19 1624.08% SPY LONG 10/17/2019 $295.00 $298.65 10/18/2019 …

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