Monthly Archives: June 2015

7-1-15 – Trading Strategy

7-1-15 – Trading Strategy

Current Holdings


Real time portfolio updates are now available here

6-26-15 BZQ (Inverse Brazil) @ $84.00
6-29-15 SOXL (US Semi Conductors) @ $31.42

Today’s Updates


JNUG (Junior Gold Miners) Stop @ $18.87 for a 6.35% Loss

UVXY (Ultra VIX) Limit order filled @ $39.88
UVXY (Ultra VIX) Limit order filled @ $45.58 for a 14.29% Profit

– The markets are testing an ultimate ulcer Index with these wild corrections. However, if this was a true panic like what appeared yesterday, today would have been a repeat. With this type of uncertainty in the markets, the major trends are still holding, but it’s a wild ride if you are in them.

If you are not in them, picking the proper entry point is very difficult. In situations like this, I switch over to volatility trades. Looking for extreme price movements that have the chance at reversing.

JNUG (Junior Gold Miners) is one example of this. JNUG is now down 8 days in a row which is a historical record. I lost on my first trade, and with this extreme and it’s history, I will be trying again to get a swing bounce on this. Unfortunately, it won’t be for profit, it will be to recoup today’s losses.

I don’t advocate compound trading in which you double your entry if you take a loss, but history can be a very good guide and the percentages are high that such a market will reverse.

Market Snapshot 6-30-15

 

Current Holdings with Open Orders for 7/1/15


Sell BZQ (Inverse Brazil) Limit @ $92.10 (9.644% Profit)
Sell BZQ (Inverse Brazil) Stop @ $82.50 (1.79% Loss)

– Nothing has changed with the direction of this market, the markets are simply becoming more volatile. My stop hasn’t been hit yet and I’m not risking a great deal on this trade so I am going to keep the same order for tomorrow.

BZQ 6-30-15

Sell SOXL (US Semi Conductors) Limit @ $35.00 (7.69% Profit)
Sell SOXL (US Semi Conductors) Stop @ $30.95 (4.77% Loss)

– Moving up my stop since we saw a bit of recovery today. I still don’t like where I’m at in this so I’m trying to limit my loss as much as possible. However, it could easily gap down in the morning like what happened with JNUG and I could lose more than I am allowing.

SOXL 6-30-15

 

New Open Orders for 7/1/15


Order Cancels Order

Buy JNUG (Junior Gold Miners) Stop @ $18.70
Buy JNUG (Junior Gold Miners) Limit @ $18.50

– I will day trade this depending on what my fill is like tomorrow. My goal is 5% profit.

JNUG 6-30-15

 

Buy UVXY (Inverse VIX) Limit @ $39.50
Sell UVXY (Inverse VIX) Limit @ $47.50 (15.82% Profit)

– Another volatility play if we get a good dip in UVXY tomorrow.

UVXY 6-30-15

 

6-30-15 – Trading Strategy

6-30-15 – Trading Strategy

Current Holdings


Real time portfolio updates are now available here

6-26-15 BZQ (Inverse Brazil) @ $84.00

Today’s Updates


DRV (Inverse Real Estate) Limit Order filled @ $26.80
JNUG (Junior Gold Miners) Limit Order filled @ $20.15
SOXL (US Semi Conductors) Limit Order filled @ $32.50


DRV (Inverse Real Estate) Limit Order Sold @ $28.30 for a 5.60% Profit

– Today was a significant day in the market and though it’s impossible to tell, it could be the start of the big reversal in all the bullish trends the markets have had. The news is focused on Greece and what is going to happen there. Regardless of the news, the charts showed money fled out of the markets with almost every market exceeding their daily trading range.

Only TMF (20+ Year Treasury Bonds), UGAZ (Natural Gas), and UGLD (Gold) came out unscathed.

This is there the big money is made or lost, but what we saw today was panic selling. I am personally concerned about my volatility plays in JNUG and SOXL. A rebound tomorrow is very unlikely so I will be keeping my stops very tight.

I was fortunate to pick a bottom in DRV (Inverse Real Estate) and sell out at a good profit, but I need more of those to recoup the beatings I took this month. If this is truly the first day of many, I’ll be able to more than easily recoup this months losses or compound on them even more. The decisions this week are going to be very tricky considering we have the holidays coming up and a short trading week will leave many not wanting to hold positions over the long weekend. This week favors the bears for sure.

-2.93% ($585.61)

 

Current Holdings with Open Orders for 6/30/15


Sell BZQ (Inverse Brazil) Limit @ $92.10 (9.644% Profit)
Sell BZQ (Inverse Brazil) Stop @ $82.50 (1.79% Loss)

– Moving up my sell limit to 2x the daily ATR. Large global movements today and if this is the big one I want to maximize my profits.

BZQ 6-29-15

Sell JNUG (Junior Gold Miners) Limit @ $21.15 (4.96% Profit)
Sell JNUG (Junior Gold Miners) Stop @ $19.25 (4.47% Loss)

– I am taking a big risk setting my stop so low. However, I wasn’t expecting a drop today in JNUG, we are now on 7 down days in a row. Tomorrow it may gap open lower, take out my stop and finish higher or it could end up much lower. I can’t take the chance on a big loss and have to pull the rip cord if it doesn’t go my way. I think I should be okay though since Gold will benefit if the rest of the markets falter.

JNUG 6-29-15

Sell SOXL (US Semi Conductors) Limit @ $35.00 (7.69% Gain)
Sell SOXL (US Semi Conductors) Stop @ $30.50 (6.15% Loss)

– I do not like the way this chart looks. Today was a massive sell off and I’m worried it has the momentum to do the same tomorrow. Tomorrow will be the real test of the bears to see if they see value in this low price and push it higher. Of course it’s a dilemma on how far low I’ve set my stop. I have to protect myself against losses first at this point.

JNUG 6-29-15

 

New Open Orders for 6/30/15


** WARNING – Do not make this trade unless you are ready to take on considerable risk of loss!! **

Order Cancels Order

Buy UVXY (Ultra VIX) Stop @ $45.25
Buy UVXY (Ultra VIX) Limit @ $42.75

– Today saw record volume and a MASSIVE 34.28% move in the 2x leveraged UVXY. You may not have seen me trade this before because I haven’t seen a setup in this in a long time. XIV (Inverse VIX) broke through all 3 moving averages in one day on record volume This means volatility in the US market is skyrocketing. With the news in Greece, I imagine this will happen for a couple of days at least. Especially since we have a short trading week, traders will be clamoring for safety.

I have missed out on very large moves like this before and I have the capital to take on this risk so I am choosing to do so. I AM NOT RECOMMENDING THIS TRADE. I am only sharing what *I* am going to do with my own money. This is a highly leveraged ETF and it can have significant impact both positive or negative to your portfolio.

SVXY 6-29-15

 

Trading Strategy – 6-29-15

6-29-15 – Trading Strategy

Current Holdings


Real time portfolio updates are now available here

6-26-15 BZQ (Inverse Brazil) @ $84.00

Today’s Updates


BZQ (Inverse Brazil) Limit filled @ $84.00

SOXL (US Semi Conductors) and YINN (China) were the standouts for Friday moving lower than their daily ATR %. YINN is proving to be very difficult and frustrating to trade and has recovered to where I entered. I’m playing mostly volatility trades for Monday. I’m also not going to let the news affect my trading and I’m going to wait for Europe to show true direction than try and time this volatility.

Market Snapshot 6-26-15

Current Holdings with Open Orders for 6/29/15


Sell BZQ (Inverse Brazil) Limit @ $88.65 (5.54% Profit)
Sell BZQ (Inverse Brazil) Stop @ $82.50 (1.79% Loss)

– I’m in on this position early so I’m not going to give it much room since I’m playing the downside of a consolidated breakout.

BZQ 6-26-15

 

New Open Orders for 6/29/15


Buy DRV (Inverse Real Estate) Limit @ $26.80
Sell DRV (Inverse Real Estate) Limit @ $28.30 (5.60% Profit)

– The downtrend seems to be holding nicely with a quick correction on Friday after a week long downturn. I’m going to try and get back in at 50% the daily trading range to secure the best price possible.

DRN 6-26-15

Where I want in on DRV (Inverse Real Estate)

DRV 6-26-15

Buy JNUG (Junior Gold Miners) Limit @ $20.15 
Sell JNUG (Junior Gold Miners) Limit @ $21.15 (4.96% Profit)

– Simple volatility play, JNUG has been down 6 days in a row now so I’m going to try and get in on Friday’s low and sell for a quick profit. My overall thoughts on Gold are bearish, but this should be a quick rebound play.

JNUG 6-26-15

Buy RUSS (Inverse Russia) Limit @ $32.25
Sell RUSS (Inverse Russia) Limit @ $35.60 (10.39% Profit)

– Price didn’t hit my buy point on Friday, going for another quick trade.

RUSS 6-26-15

 

Buy SOXL (US Semi Conductors) Limit @ $33.15
Sell SOXL (US Semi Conductors) Limit @ $35.00 (5.58% Profit)

– Another simple volatility trade. SOXL moved past it’s daily ATR on Friday and closed a fourth day lower. Trying to further downside and a quick reversal.

SOXL 6-26-15

 

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