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Capstone Trading

Trading System Signals on February 1, 2022


50K Portfolio, 1 Micro NQ 20 (LIVE) = -$1,225

200K Portfolio, 2 Micro NQ 20 (LIVE) = -$1,625


We did slightly better in the 200K since we added some additional contracts to a winning trade at a low risk entry point. Otherwise it would have been -$2,450.


50K Portfolio OLD (Hypothetical) = -$725

200K Portfolio OLD (Hypothetical) = -$1,955

(The results in the video for the 200K Portfolio were different as we have updated them to the latest open positions - but still not the final numbers). Check the Portfolio Calculator for the latest results.


I have never seen this many markets chop this much all at the same time for this long. We have a low percentage of winners as the market has been reversing on nearly every entry the last couple of days. Last month, January 2, 2022, the first trading day of the month and year was one of our worse trading days (-8k+). First day of the months trading have become more choppy. The next 7 trading days were net profitable. Now that we have had the end of month chop and beginning of month chop. I am looking for more tradeable market conditions. VIX dropped into the 22 handle today as well.


Narrow ranges are bullish and that is what we had all day until a rally into the close. It was a stealth bull market rally as it did not signal many long trades and ran some stops with some early head fakes and negative volume in the futures. We still see negative volume in the futures. I believe the market will rally until the futures start to show net buying...and then roll over. The market has traded right up to some of its Fibonacci levels at 15150.


You have to wonder if markets will always make V bottoms from now on - with no re-tests. Its a symptom of excess liquidity and an example of price distortion. I would like to see a retest and I still think we have a chance to go down and take out last Monday's lows. Either way, will trade our strategies. After a long cycle of chop and VIX dropping below 25, I think the market structure is setup to be more favorable.

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