ETF Trading Research 3/7/2018
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):
Some of you wrote me today and said you did take the JDST trade at 55 and one is holding and another sold at 58. Good trading and I didn’t include it in the results, but happy to see some pick up on what I think is going to occur.
For TVIX, which we know we have to treat differently than most, we laid off it after hours yesterday as it shot up to over 9.50. We were patient this morning but I jumped in a little early with half shares as I wanted a piece of the beast. I put in the buy price for the other 1/2 shares at 8.55 and I know some waited to purchase there and you’re only down about -4%. I expect a big move up there to 11 by next week, and obviously a big move down for the S&P. We hit a double top at 2730 today and as much as market makers want to give you pain, no matter what they do in the morning, I am sticking with this trade “hands on” until we get to 11. This means that if for any reason we are stopped out at 8, then we buy back at 8.10 without hesitiation and keep doing it with a stop at 8, rinse and repeat, till we take off higher. Goal might be 11 to sell shares, but if S&P is headed to below 2500 on this next leg lower, then we should get even more than that. After hours we saw it move to 8.20 bid as I type.
We made a good call to get out of JNUG yesterday with the 10% profit. We got in our first 1/4 shares of JNUG today at 13.35 and looking to buy next 1/4 at 12.95 tomorrow. Gold is looking weak still and doing so without a strong dollar. What happens if now we get a bounce in the dollar to boot? It means we will get our lower prices in JNUG.
We got long SQQQ and down a bit from the entry, but it too should take off here Thursday and Friday. Part of me just wishes we could skip Thursday and head straight to Friday.
DWT and DRIP we could have and probably should have got long despite the good data for oil. I stopped us out with a small loss even though I said it was holding up pretty well. We may get long tomorrow. Same with TMF.
All of the ETFs we want should take off for us into next week. TVIX, DWT, DRIP, SQQQ and TMF. JDST can still be a winner and we are happy to buy JNUG lower. The next move in JNUG once we are long is 100% not a scalp of 10% like last one. Even though the day trader in me can make those calls, it is the bigger move that is coming that will have me doing what I can to get more than a 50% return as one of the “trades of the year.”
DGAZ never triggered but keeping an eye on it more than I am UGAZ. But would rather trade any of the above for better setups on what I see coming.
I put in more of the sentiment data below to include the slew of soft commodities that got hit today, even with the dollar lower. A rising dollar will now make it worse for these. Also, cryptocurrencies falling show liquidity issues with this market. Good sign for a weaker market to come if these continue to fall.
Economic Data For Tomorrow
Interest rate decisions in Europe and BoJ (evening) tomorrow along with Initial Jobless Claims.
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.
