05/09/2011 Trading Signals

THE SHORT-TERM TREND IS DOWN, I HOLD BOTH SHORT (TRAPPED) AND LONG (TRAPPED) OVERNIGHT

No idea about tomorrow, if not up big then I’d be bearish biased though.

As mentioned in 05/06 Market Outlook, the Non-Stop model sell signal may have been triggered today. You may want to wait for a few days to avoid the whipsaw though and short is for aggressive traders only. I’ve mentioned several times before that a typical trend following system like Non-Stop model usually has below 50% winning rate. It relies heavily on a long lasting trend to earn the money in the long run. So the sell signal doesn’t necessarily confirm that the intermediate-term trend is down.

Those who followed the TradingMarkets signals I mentioned in 05/05 Trading Signals, just a reminder that one sell condition has been met today.

MECHANICAL TRADING SIGNALS: 

	TREND	MOMENTUM	COMMENT
Long-term	2 of 2 BUY
Intermediate	3 of 5 *SELL	5 of 5 NEUTRAL	Cobra Impulse in BUY mode; Non-Stop in *SELL? mode.
Short-term		6 of 6 NEUTRAL
SPY SYSTEM	ENTRY	STOP LOSS	INSTRUCTION: back test is HERE, signals are HERE.
Non-Stop	04/28 L	N/A	*Close long and sell short tomorrow.
CI Buy & Hold	04/28 L	N/A
CI Swing	05/06 L	1.7*ATR(10)

DEMO ACCOUNT FOR SHORT-TERM MODEL:

TICKER Entry Date Entry Share Stop Loss Exit Date Exit Profit Comment SDS 05/09/2011 $20.40 300 $19.47         SSO 05/06/2011 $55.49 50 $53.49       Half positioned. SDS 05/06/2011 $20.17 200 $19.47 05/06/2011 $20.40 46.00 Half positioned. SDS 05/04/2011 $20.12 200 $19.47 05/09/2011 $20.25 26.00 Half positioned. SDS 05/03/2011 $19.94 300 $19.47 05/03/2011 $19.98 12.00 Half positioned. SSO 04/20/2011 $53.62 100 $54.73 05/04/2011 $54.73 111.00   LAST 1387.00   SUM 1582.00

$200 max loss allowed per trade. For fun only. LAST = Year to the last month balance.