The VIX hit the 12 handle and reversed to close up on the day at 13.45 in a bit of a Key Reversal pattern. The NYSE ADV-DECL have been negative three days in a row while the high on the TICK today was 611 and the low was -922. The volume on the SPY was the lowest it has been in nearly 20 years at 26.9 million shares. Nevertheless, all major stock indexes closed up on the day.
The One Million MNS was up +.075% while the 250K Portfolio was up $150 on the day in live trading for the third trading day in a row. Very small gains intra-day with very few stock index strategies even signaling trades in the stealth rally. The overnight follow through which hasn't been there most of this year was there today with a nice Gap Continuation trade. The overnight strategies were able to profit on the follow through as well. The first three days of December has been a "memoryless" (hidden markov mindset) to the patterns this year.
The hypothetical results for the Stock Index Portfolio 18 were +$2575 per E-mini and +$3 per Micro. The difference is based on the Asia Gold strategy. In the full size contract, the strategy was 2 ticks away from being stopped out before reversing to hit a +1475 profit while the Micro Gold contract was stopped out. There were only two trades today, Asia Gold and Gap Continuation.
The hypothetical results for the Top 50 Select was +$3,327.50. There are five overnight strategies in the Top 50 Select and these five strategies captures +$4,200.00. Copper was up slightly and Crude Oil was down on an existing swing position.
The hypothetical results for the 50K Portfolio were +$810 on the day.
Low VIX can require more overnight strategies.
Traditional technical analysis tells us that market moves should be confirmed with volume. We continue to see higher and higher prices with lower and lower volume. Yesterday, December 3, 2024, the SPY traded at its lowest volume in nearly 20 years.
We updated the code from the previous video to enter long at 1545 and exit at 945. I'm calling out this pattern because I don't believe it will persist. It seems to be an attempt to make sure highly leveraged 0 DTE bullish traders aren't able to take advantage of the move. 0 DTE stock index futures for daily trading started in 2022. If the trend persists, we have night time strategies that take advantage of this extreme anomaly. If there is mean reversion, we can see more of the trend intra-day or even a bear market cycle.
The CVIX hit 0 today. The CVIX is the Capstone VIX that measures the number of 1/3 of 1% turning points during the day. Quick scan shows there are no 0 CVIX readings on non-holidays in 2023 or 2024. Verifying....
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