It's been a frustrating journey trading inverses lately. Biggest lesson learned is scale slowly bc pullbacks have often lasted just a few days. Still expecting mother of all crashes due to coronavirus, but getting headfaked has been the norm. In just a few k of inverses today, will scale tomorrow. UVXY favorite bc VIX pivot likely good for more.
%% I'm looking today to cut a 9.5% loss on spxs/better than the 15% on it earlier; good thing I risk only part of my weekly profits[or sometimes last week's profits.] QLD new buy profitable ,in SPYG.$52.47 average. SPYG may not makes as much/ but may drawdown less...…………………………………………………………………………………………………. SQQQ is up about 3.333% for the week/not in as of now. MAY take small profits in SPYG or most likely let the profits ride
Good points, SQQQ best price action today, bought a bit, will be scaling into it for weekend hold of it closes over 20.
%% Cut a 9.88% loss on spxs\swing trade this week.Biggest % I ever lost onSPXS; but lost more money on TZA. I tend to make more on QQQ,TQQQ/QLD/ICLN this week; so got in TECS@11.2499, today .I risk a % of weeks profit for inverse/or % of last weeks profit. REALLY did not want to sell upro[exit long] on Monday but I had a resting order in/so worked well anyway. I considered changing my % on spxl/upro this year+ have ,to include spy or SPYG; SPXL did about 100% in 2019 , very different in 2020 EVEN though SPYG draws down less than many; BUT it went to $8 area /bear market/LOL TQQQ trends well but rallys + valleys are so sharp/easy to get burned!!
I haven't followed your trading style (I don't follow anyone's) but I thought you were a longer term trader. Are you doing day trades, or sneaking some day trades in, in this environment?
%% Yes/still use a 200day moving average/long term. Also do also short term trades, more than daytrades. But I like to exit some stuff weekly/ so I do both. [And tend make more on long etfs than inverse/mostly]Was in UPRO for 4 months/exit NOV+ back in again today,some.
I'm half tempted to take some short term trades but resisting, the reason being I don't wish to start being glued to a computer terminal all day. The trading landscape atm is not to my liking. Yesterday I spent all day creating a new variation on a recent algo (running just over a year) which is my favourite atm. Then went shopping online, I need another laptop just to handle it, will place an order for it in a day or two. https://geeksontap.com.au/pixelbook-go-12/
%% I love to study trends+ even for short term trading/ I measure a bunch /but not glued to screen all the time. I've seen better uptrends in tech etfs/but ok.[A WIDE/sharp ralley/sharp valley uptrend can be tricky, which is what UPRO/SPXL has been doing all year] DOW chart / 52 week looks weak, but the media is promoting that /who knows??
My preference, monthly bars give a better reading than MA200. Compare / count those above or below HHV / LLV. MA200 is 'funny' because it's not a fixed indicator, not fixed in terms that an instrument 10% (for example) above a MA200 means little due to the MA following price, whereby a monthly high lor low is fixed in place. Over a month, the high from the previous month remains fixed, while a MA moves. Or put it this way, use MA200 but dont overlook using Monthly's as a reference point.
%% Exactly + why I use 200dma + monthly/weekly candles. Buts its real handy because alan Farley noted ''bulls live above 200dma+ bears live below200dma'' I never use any moving average mindlessly. They tend to sell stocks in SEPT,regardless of any ma...…………………………………………………………………………………………………………………..