ETF Trading Research 1/8/2019
Today started off great with the UGAZ carryover. We then got short the market early, stopped out or took profit, then loaded up for a bigger move south, took the profit, held tight till end of day and made a few more trades short. In the interim we overall took profit in DWT and last trades of the day in TVIX came out net positive. LABU was the second big winner but we dig give some back in UGAZ. That said, liking it overall and we are profiting in it despite the fact DGAZ is still green across the board. It was such a big move in UGAZ up and then down in DGAZ that we were able to catch the bottom a few times in UGAZ and now waiting for a signal to hold UGAZ a bit longer for over 3.10 move. By choosing an ETF to concentrate on buying the dips, it is difficult to grab a few like UWT and GUSH and do that but I’ll keep trying to expand it to a select few to concentrate on each day.
We have Trump speaking tonight and the market could do anything tomorrow so we went home flat. Each day I am concentrating on making it a profitable day and this year we have had only one small negative day. You are noticing that I am keeping stops more and tighter and even the half shares on UGAZ were -2.5% not -5% losses for a total of -5% on the two stop outs but still we were up on the day with the morning sell. I missed the re-entry on the last half buy on UGAZ, otherwise that one would be in profit. UGAZ after hours is up once again from 40.09 to 40.60 bid. The same type of price action it had yesterday. The tide may be changing and we can get over 42.71 now which was today’s high.
I kind of lean short the market tonight with Trump’s speech coming up. Just a gut feeling. TVIX isn’t showing it right now at 56.10 bid and 56.20 ask but it was under 56 a little bit ago and now rising a bit. Might be worth the risk here.
LABD tomorrow is the one to watch as it is 3 days in the Cold Corner. Also note that metals and miners turned to sells despite the move up today in them. Might be the early warning sign the top is near and anytime DUST and JDST are positive for the day they can be a buy long for a while with a trailing stop.
I also think oil is due for a pullback for a day. DWT low today and presently 12.33 on the ask with a 12.28 bid. One to watch. But only for a day most likely.