Tuesday, December 15, 2015

Indices closed UP .87% to 1.06%....NICE !!!!

Indices closed UP.

S&P 500 @ 2043.41, high 2053.87, low 2025.55

RSI @ 46.18

CMF @ -0.059

Internals were :

UP volume led by 4.98 to 1 in NYSE & 3.27 to 1 in Nasdaq

Advancing stocks led by 3.70 to 1 in NYSE & 2.36 to 1 in Nasdaq

Net new 52 wk lows were leading by 169 in NYSE & by 125 in Nasdaq

VIX Down 7.83% @ 20.95

Oil @ $37.35

Gold @ $1061.60

Stocks which were UP 2% or more  BBRY BITA CNQ FIT
JKS BIDU BABA FEYE MU LULU COH LVS GPRO CSIQ
SINA EXPE FFIV MA V FSLR SPWR AMBA SPLK X
CCJ MS VRX Z WYNN GS TRIP......

AH Futures Down

AH Asian Markets UP

AH Oil Down

AH Gold UP

About market, TAPE was strong after oil moved UP, internals of the market improved. FANG sat out this rally as other stocks participated in this rally, a diversified portfolio helps when divergence like this happens. Wednesday 2 PM will be a historic moment when direction and intensity of interest rate is decided by Fed, I am expecting a less than 25 basis more like 15 basis now and another 15 basis in couple of months and gap of @ least 3 months or "data dependent approach". That scenario or another combination like that will be taken positively by equities.

BLOG does NOT give buy or sell.

Saleem

4 comments:

stocktrader_1996 said...

Hi Joseph,

Your XIV idea is so good I wish I would have considered it more myself. The one thing I've found almost certain into any year end is a decrease in volatility--things get very slow in the last 2 weeks. Given how low the XIV (high the volatility) got ahead of this Fed meeting and the high yield crisis of last Friday, I think your XIV entry was fantastic and will probably continue to work into year end despite the natural decay this instrument sees.

I also see a positive outcome for UPRO, but my view there requires we get the direction of the market correct. I think XIV will work almost regardless.

In general, I would be careful of the 2x/3x leverage vehicles. They have a natural slow decay over time even if your investment thesis proves correct.

Stocktrader

Unknown said...

Hi Stocktrader,

Thanks for your encouraging words. I must say that I am lucky. XIV is a money making machine if we get a good entry point. Sometime back I had another trade with XIV gaining almost 10%. All my trades with ETF have been very successful so far. It did help me otherwise my portfolio would have been a disaster. I have a plan to buy TNA if the market comes down. They say small cap does well in the first quarter.

Once again thanks for your help

Joseph

Unknown said...

Hi Stocktrader,

I forgot to mention about your comments regarding the 2x/3x leverage risks. You very well said " They have a natural slow decay over time". Thanks for reminding me. I did have such experiences. These are all just trades, make it or lose it.

I will always keep in mind its dangers.

I hope we have a good day today.

Thanks so much.

Joseph

Unknown said...

SOLD UPRO @ 64.30