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Trading System Signals on May 17, 2024

The hypothetical results for the One Million MNS 110 was down approximately -$2,500.00 and about -$500 in the 250K Portfolio hypothetically. We are near the drawdown entry point which I anticipate we will hit on Monday so we are looking to re-enter live trades intra-day on Monday or Tuesday next week.


The hypothetical results for the Stock Index Portfolio 18 were -$1,760 per E-mini.


It was a relatively quiet and "dead" Friday after strong gains on Tuesday and Wednesday and a Dow 40,000 this week with one of the quickest VIX crushes I've seen since mid-April when it peaked at 21.36 on April 19. The VIX closed the week at 11.99, losing nearly half of its highest value less than a month ago.


There was a strong surge in commodities to close the week with a gain in Silver futures of over 6%. Natural Gas was up 5.5% while Copper was up 4.2%. These are daily gains!


Looks like the short sellers in GME made up losses from earlier this week when GME surged. Short sellers potentially had a big week if they added to the short position on the big spike this week.


Next week could be pretty big with NVDA earnings due on Wednesday. We continue to see big surges once NVDA reports earnings. There is so much liquidity in the market, I wouldn't be surprised to see another surge higher. I also wouldn't be surprised to see a strong sell off based on the earnings news. After, following "hot stocks" over the years, there seems to be a tendency to have downside surprises after a strong hot streak. It's possible that a a big move lower in NVDA could be a catalyst for a bigger pullback in the market. I'm not trading based on this though. I do like to anticipate what could happen and how it would affect our Nasdaq strategies.

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