Live Trading System Signals on November 14, 2022 - Slow Choppy Monday with ADD Divergence

The 200K Portfolio was down -$3,100 today and the 50K Portfolio was down -$950 today in live trading. The hypothetical results were -$3,075 and -$922.50 respectively.

The 200K Portfolio trades one E-mini per strategy on the Stock Index Portfolio while the 50K Portfolio trades 3 Micros per strategy on the Stock Index Portfolio.

STOCK INDEX PORTFOLIO

It was a slow choppy trading day without many trading system signals. Only five strategies traded and the S&P strategies were 1 for 3 and the Nasdaq strategies were 1 for 2. It was a success to not trade much and keep our losing days smaller than our winning days.

There were some noticeable divergences and inversions today.

The Advance Decline line had a glaring divergence. The S&P and Nasdaq made four higher highs in the last three days while the Advance Decline line made four lower highs in the last three days.

The market was inverted from its typical prop up pattern. It was propped up in the morning with selling into the close.

The Advance Decline line and afternoon selloff are some technical indications that the bear market rally is over and there could be more selling coming into the market this week. The market does have an uncanny ability at this time of year to continue to generate upward price action from traditional sell signals and patterns.

The longer term fundamentals are still bearish and the market should weaken but there is still some bullish habits and excess liquidity left over from the QE days that could drive the market higher even if it should go lower.