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Capstone Trading

March 23, 2020 – Trades on the Day, Preview of Updates, and Market Analysis on Gold, Stock Ind

The highlight has been Adaptive Moving Average which has been on a streak since March 13, calling some nice turning points on about a 20k run per contract.

We go over all the trades on the day and discuss some of the updates that I am about to send out to Stock Index Portfolio (Mini and Micro) as well as All Strategy Access subscribers.

A lot of 3 am nights lately researching these updates! I am looking forward to sending these out. There is a lot involved when trying to determine what to change without biasing and curve fitting a strategy and also determining how each strategy will work with the other strategies in the portfolio as well as trying to anticipate future market conditions.

Some of the strategies will have daily range and/or VIX filters. This will work well as it will decrease the number of strategies traded during higher volatility. The Limit Move filters will also remove unintended trades as some of these trades were not the original intention of the strategy and the market has never traded like this around the new circuit breakers. We go over a preview for each of the updates.

Recently we have had some orders rejected as the market is moving so fast that once our limit order is received, it is already outside the order band. We have a solution to make these type of strategies better.

The updates don’t change the basic strategy rules, but rather slow down some strategies, stop trading when ranges/VIX are too high, or don’t trade the open when we are near a limit move.

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