We did not trade live today since we are waiting for a drawdown. The strategies still had a big runup to equity peaks today on AAPL and the Jobs Report. The market was happy with the $110 billion AAPL buyback (largest in history) and was excited at the potential for lower and more stimulative interest rates on lower-than-expected job growth. The liquidity in the marketplace and the anticipation of additional stimulus continues to be the biggest fundamental.
Even though we did not trade live, we still track the hypotheticals. The One Million MNS 110 hypotheticals were up +2.5% on the day and +1.7% on the week. The 250K Portfolio hypotheticals were +$5k on the day and +3.4K on the week.
New equity peaks after drawdowns continue to build confidence in portfolios.
While it is always bittersweet to miss big gains, we remain risk averse in our futures trading and wait for a drawdown entry alert. A 2.5% drawdown entry alert would still put us below the previous equity peaks and reduce our risk to worse case drawdowns and help us buffer any technical errors. Mondays and Tuesdays continue to be choppy while the end of the week has been trendier in the stock indexes.
The Stock Index Portfolio 18 was up +$7,825 on the day. The Portfolio Calculator will be updated over the weekend.
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