The live trades today for the One Million MNS 128 was +0.35% with the 250K Portfolio up $700 on the day. We traded the Stock Index Portfolio 18, 1 contract today. The hypotheticals were +$3,705 per E-mini and +$374.50 per Micro.
The stock indexes took a deep dive at the open to fill the gap and take out yesterday's lows with a massive V-Reversal. The V-Reversal did not enter near the lows as the conditions were not met until later in the day.
The market continues in its stealth bull market mode. It has a way of moving higher overnight or quickly after a sell off. Head fake stop runs, turn into rallies that die out at the end of the day and wait for the overnight session to resume. The strategies did well capturing signals on the long side after the sell off today. The metals were the big winner though as Asia Gold and Gap Continuation Gold both captured nice long trades in Gold futures.
The One Million MNS 128 hit an equity peak today. We started trading this portfolio in a drawdown. The slippage was excessive this month and along with some technical errors and rejected orders, we did not capture the gains for the runup this time as we normally do and rotated out to reduce our risk to max drawdown since we missed some gains.
The order book has been thin in the Nasdaq. We will be trading the Stock Index Portfolio 18 while waiting for a drawdown in the One Million MNS 128 or 70 so that we don't risk the full max drawdown amount. The Stock Index Portfolio 18 is about 1.6% away from its worst-case drawdown based on $1M. We look for these portfolios to do well at the end of September and into the start of Q4.
It was an interesting drawdown in the One Million MNS 128. The winning percentage hit 25% winning days in the last 12 but was only in a 7K drawdown on September 19th when its winning percentage was 25%. It has hit equity peaks today after a low percentage of winning days and a shallow drawdown since September 11. The drawdown duration was also 23 days which is longer than average. We will look for rapid drawdowns to enter and trade for a quick recovery.
I have anticipated chop going into the election. While I still anticipate chop, I also anticipate a stealth rally.
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