Thursday, March 24, 2011

Short confirmed.

4pm: Official signal is a 2nd short signal... by an eyelash.  It's usually never that close.  I'll be adding more shorts in the morning.   Hopefully I get a little gap up to get a better price.  (Of course, I'd be happier with a huge gap and go downward!) For tracking system stats, I'll just use today's closing price.

3:55pm: Still too close to call between a hold and a short signal.  Since it has little bearing right now, I'll just post the official signal after the close.  If it's a second short signal, I'll just enter the trade in the morning.  

1:47pm: The system is flipping between short and hold.  I'm guessing it will settle on a hold signal sometime soon, but I'll update in a bit either way. .  

10:42am: It's early of course, but I'm getting a second short signal.  This would push the system "all-in" short.  (See the very bottom of this page for how I account for this when calculating my stats on the left side of the page.)  In a nutshell, the first new signal initiates with a 50% position.  This leaves 50% in cash.   If a second signal appears of the same sign, such as today, it will throw the other 50% into the market.  This will cut gains in half if there is only 1 signal before an opposing signal since 50% was sitting in cash.  However, like we saw last week when there were 2 consecutive buy signals, it lowered the cost basis of the original position and maximized gains by going all in at a better price.

2 comments:

  1. J looking for this move to end around 1312 then short,do you have price point for S&P? TIA

    ReplyDelete
  2. I try to have no guesses and try to remain impartial and unbiased. Of course, I'd like to see it go straight down from here, but I really have no clue. It just feels like it wants to go higher, which has me a little concerned. The bears and I still have some hope, though. If the ES (I follow futures closely) can't get and hold above 1304 soon, a strong sell-off could ensue possibly testing the recent lows. This info comes from The Precision Report. Bob English is a genius, btw.

    ReplyDelete