ETF Trading Research 3/6/2018
ANNOUNCEMENT; The updated for 2018 version of Buy Gold and Silver Safely is available on Amazon.com. In it I provide an updated view on the economy and where we are headed, along with fresh data and analysis on the gold market. I think you’ll appreciate it and get a better understanding of why and how gold fits into a diversified portfolio. Feel free to post this link to social media or send by email to others. You’ll be doing them and you a good service as the more who know about what’s going on, the more who will discover precious metals investing and drive prices for us higher in the long run.
Go to this link: http://buygoldandsilversafely.com/the-book-buy-gold-and-silver-safely-2018-update-announcement/
Also, if you do purchase it, please be so kind to leave a review. It would be greatly appreciated. Thank you in advance.
Today’s Trades and Current Positions (highlighted in yellow):
Why oh why do I have to be so conservative? After hours the market got a jolt from the resignation of Gary Cohn, Trumps economic advisor has stepped down. This means my little group of likes; DWT, DRIP, TVIX, TMF and SQQQ will all gap up tomorrow. We may end up chasing some of them, but still for great profit. At this point I am forced to sit on my hands and I don’t like it, but I can’t make calls in thin markets on potential over reaction. I do wish I had small shares still in all of the above for us.
We didn’t get the spike up in /ES close that I wanted. We did get the spike down in JNUG and now “news” has it moving back up to where we sold. Are we hurt? Not if you buy back at the same price. It now depends on what the dollar wants to do. It is falling and it makes sense the sell off continues overseas now too. Unless Trump tweets something.
Oil and markets going in the same direction; down. TMF as a flight to safety should move up. SQQQ should head higher now too. But some big spreads on some of these like DRIP. Can’t make those calls now.
All in all we had a great day of locking in profit. I can’t complain about that and I know we’ll keep doing it. But for days I have mentioned the one’s above and was too “conservative” to make the dang call. We were in 3 of them today and got some profit from them. And JNUG did well for us and we may be able to still get it lower. Find out soon enough, but the first reaction on the dollar was down. We are seeing a little pullback now on TVIX so that’s good.
Economic Data For Tomorrow
Tomorrow we have ADP Nonfarm Employment data and even good data may not derail the bear that is coming to this market. Same with Crude Inventories.
http://www.investing.com/economic-calendar/
These are the ETFs that have turned green on the weekly and show a trend has developed. Your best way to profit with the service is stick with the green weekly trend each day and take profit while using a trailing stops. Also, if these green ETFs are up for the day at the open, they offer the best scalping opportunities. I am always fine tuning this section so if there is confusion at all, email me and be specific and I’ll be happy address.
I know I have said this many times but it is worth repeating; If you stick with the green weekly trades your odds of profit increase as there is more risk with the day trades. I call the day trades with the intent of catching some runners, so will get a few 1% stop outs but eventually catch the 5% to 10% or more runners. The important part of the list below is that the longer the ETF stays on the list the more likely it is to turn red on the weekly and the opposite ETF comes into play as a long. This will be tracked more when we automate the service.
Sell half shares on a spike up on any ETF you are long, even if goal is higher. Spikes higher are almost always followed by moves in the opposite direction. Try and get out with a market order quickly before the quick move back lower. Lock in that profit!
New way to trade beaten down ETFs; The way that trade would work, and I really think it should be a rule from now on NOT to trade anything trending down until it reverses, is we would buy at the open if it is POSITIVE or GOES POSITIVE during the day. Then we would look to profit on 1/2 shares over and over, day after day until we get the red weekly signal on the opposite trade that could turn into bigger profits. The stop would be if it goes negative for the day. The rule of keeping a stop if it goes negative for the day is a must. Lastly for this type of trading we need to not be afraid to get back in if it goes positive once again. Sometimes market makers will take an ETF negative and then reverse it right higher again because they know if it goes negative many exit. So we have to be willing to risk a few in and outs when it does this up and down move around that potential stop out area so we don’t miss the ride back up. That’s just part of trading and not a big deal. But no matter what, if it breaks to yet another lower low because you didn’t get out after giving it a little more wiggle room, you are more than likely further from the original stop out when it went negative and you are out, waiting for it to go positive again before you get back in. You are simply buying into strength.
For those of you new here, I most of the time have the ETF Trading Research report out by 8PM PDT, and it comes by an RSS feed, but you can look at the report here sometimes before you get it in your mailbox; https://illusionsofwealth.com/category/etf-blogs/ This is also the same link if there are any technical difficulties.
