50K Portfolio, 1 Micro SI 40 (HYPOTHETICAL) = +$1,300
200K Portfolio, 2 Micro SI 40 (HYPOTHETICAL) = +$2,600
(Based on open positions that can change by the close)
We continue to pause trading this week for research on excessive volatility. The Stock Index 40 had 3 winning days in a row after going through 6 losing days in a row.
The strategies were mainly long.
There are 20 Nasdaq trading algos and 20 S&P trading algos in the Stock Index Portfolio 40 that can be traded with the E-minis or Micros.
The Fed could raise interest rates 38 times by 1/4 of 1% before it reaches the correct rate according to the Taylor Rule - Jim Grant from the Interest Rate Observer.
I thought the bulls took advantage of the Russia Ukraine crisis to change the narrative in order to create a V bottom. The down trend has been based on, federal reserve monetary policy, inflation, and earnings. The narrative before the Russia Ukraine conflict was that geo political risk is never a big risk in the market so it isn't a reason to sell. The market didn't really sell off based on Russia vs Ukraine until Wednesday night. By Thursday morning, the bulls changed their narrative to say that once the conflict starts, the selling is over and its time to buy. The market rallied much more than it sold based on Russia Ukraine conflict.
The market bought for reasons in which it hadn't sold. The market has a way of losing track and trends can change for reasons that don't make sense. This is the reason we prefer short term strategies. At some point the market will give back un earned gains.