Tuesday, March 19, 2013

50% Long XIV

First, the CCI will cover the short position and head to cash. That much I know. The JTS is dependent on SPY's closing price. The critical level is SPY 154.86. Any close higher than that will keep the JTS short. A close equal to or below 154.86 will produce a buy signal. (The lower, the better!!) This combo would flip the JT Composite to 50% long XIV. In such a case, I will ditch all my shorts (for another loss...don't fight the fed?) but I will not purchase XIV just yet until the CCI gives me the go ahead. That could occur as early as tomorrow, especially if tomorrow (a generally bullish fed day) finishes in the red. Thanks and good luck! (a lot of parentheses today! :)


  1. Am I correct in understanding that your interpretation of a SPY close ca. 155 ( > 154.86), would mean hold current .90 position, or would you see that as an instruction to scale out somewhat?

  2. My guess is that StockCharts will probably pin the SPY eod at ca. 154.55--65, in about 15 minutes, meaning the above is moot.. but it's still of interest to me in terms of clarifying your strategic approach to a complex EOD signal. However, it no longer has a time urgency to it.

    1. Sorry I missed this. If spy closed above threshold the jts would've remained short thus jt comp wouldve moved to half short rather than full short.

  3. Work got busy and I ended up having to keep my TZA shares. Will see how it pans out tomorrow.