ETF Trading Research 12/03/2018

Posted December 3, 2018

Overall got over 6% on a choppy day today. You can see how choppy it was with a chart of TVIX (see below). In a choppy market like today the best you can hope for is some scalps and we traded both sides of the market, taking what it would give us and tight stops is we were wrong. We had 3 trades over 1% today and only one -1% or worse by a hair (-1.04%). DGAZ led the way with over 3% profit on half shares.

I mentioned Friday of doing something new and I feel overall it worked great today. But again, with a choppy market they won’t make it easy. The problem today was the big move made over the weekend. It was too big a move for a somewhat non-event with tariffs and China. Once the market failed in the morning to move higher, we switched to going short.

Even with this system there were two trades I could have made today in TVIX earlier than we did and UWT and maybe one in UGAZ after we sold out of DGAZ for the profit. Those 3 would have got us over 10% profit (Collectively) today. I look forward to tomorrow’s trading. Maybe we get a runner or two.

Economic Data For Tomorrow

http://www.investing.com/economic-calendar/

Stock Market

Markets had the nice Trump/Xi bump on nothingness and today couldn’t find an answer for the next step. For once I’ll let the market decide for us tomorrow but with a slight bullish lean. If we do see market heading south, I won’t hesitate to jump on them.

One thing that has helped me is cutting down on the number of ETFs I follow. While I did miss some today, I was able to capitalize on a few in both directions. I look for this to continue and like I said above, catch some runners.

Foreign Markets

Almost got us in YANG today but took it off. Still like BRZU if bullish and YANG if bearish.

Interest Rates

TMF moved higher again today.

Energy

Traded both but profited from DGAZ the winner of the day as well. Have to lean to DGAZ overall.

December 6th OPEC meeting is 3 days away but some data tomorrow and Wed first. Lean to UWT and GUSH here.

Precious Metals and Mining

I wrote on Sunday that JNUG and NUGT will become a buy I think here soon. They opened higher and gave some back but couldn’t find a way higher again. Can trade either side but outside chance we get to 1250. We got to 1234 only 16 away. The closer to 1250 the more we want to look to JDST and DUST if not tomorrow.

Doug Eberhardt