There are some bearish patterns in the stock indexes between the Wednesday before Thanksgiving through the Monday after Thanksgiving, especially over the last 6 years. The 2021 peak in the Nasdaq started around Thanksgiving. We are not calling a top or predicting it but the cycle for another peak would have some visual symmetry. We will publish the results tomorrow.
The V-Reversal NQ trading system was the highlight of the day capturing long and short trades in the E-mini Nasdaq. The noise and gaps in the market persist. Silver, Gold, and Crude Oil were down around -3% while NVDA was down -3.90%. The VIX moved back under 15 and the Russell 2000 futures were +1.66%.
The Nasdaq futures gapped up at the open on Sunday night to our target from Friday. The market would not follow through on long trades on Friday until after 4:30 pm EST and then again on the gap up Sunday. This is part of the theme of "sneaking the market higher" and stealth bull moves. Are they sustainable?
The markets have been "unhinged" with "animal spirits" since the election. Euphoria is exciting but we prefer more routine markets and are still trying to lock into the patterns in this market. The amount of volume in single stock leveraged ETFs has gone parabolic. This certainly affects stock index futures.
The One Million MNS 105 was down -0.67% while the 250K was down -$1325. The 250K Portfolio is down -1.7% on the month. We have two full trading days left in the month, and we want to remain positioned for some favorable cycles since the cycle of unfavorable price action has been extended longer than normal. Silver was the most challenging market today with strategies showing a -0.3% loss in Silver while Silver futures were down almost -3%.
The hypothetical performance for the Stock Index Portfolio 18 was down -$467.5 on the day per E-mini and -$48.50 on the day per Micro.
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