#STOCKS #CRASH Right now, we sit at 2,487 or so on S&P futures (as of 6:00pm on 12/20).

Support for today's move lower ended up being 2450 on a 5-hr candle chart.

I'll be looking to start shedding longs on a rally to 2,569. I'll start shorting at 2,607 and will honor stops on shorts on a 5-hr close above 2,612. The target for the short trade will be 2,415.

At 2,415, I'll be covering shorts and getting long in anticipation of a move up to 2,515 - 2,575. I'll sell longs at 2,515 and will ideally short near 2,575.

The next move lower after that should take S&P futures down to 2,294 - 2,354. I'd cover down at 2,354 and get aggressively long at 2,294.

All of this is done with 10% - 20% of portfolio designated for trading / hedging. The 40% for Sea Change is still 100% in cash (awaiting opportunistic and/or historical oversold buy signals - not there yet) and the 40% in strategic allocation should remain untouched as usual.

Posted to Peak Analytics' Direction F… on Dec 20, 2018 — 6:12 PM

Recent free content from Peak Analytics & Consulting

Comments ({[comments.length]})
Sort By:
Loading Comments
No comments. Break the ice and be the first!
Error loading comments Click here to retry
No comments found matching this filter
Want to add a comment? Take me to the new comment box!

Reviews Average Rating          

Excellent advice these last turbulent months...
Wide stop loss and small at profit taking but that's their style.
See All Reviews →