Short Trades Can Be Profitable in Bull and Bear Markets

crash

Heading into Monday’s open, SeaDrill Limited (NYSE: SDRL) is a short trade candidate based on a trading strategy that showed a compound annual growth rate of 60.6% in back testing. Shorting is often considered a high risk strategy that can lead to large losses. Shorting can also be a quantified strategy that leads to profits [Read More]

Leadership in Sectors that Normally Lead Bull Markets

Larry Connors

The market is overbought and we’ll likely see a pause/small pullback within 1-3 days. The level of bullishness is very high (even higher than June) but outside of that the market is seeing leadership in sectors that normally lead bull markets. For today’s official Daily Battle Plan set-ups click here.

Sell the News as Traders React to Scotland’s Vote?

Wall Street is filled with old sayings. One of the most popular has long been “buy the rumor, sell the news.” This is an idea that defies quantification and is un-testable. However, if it is true, there is reason to expect that traders will take short-term profits. Those reasons are based on quantifiable indicators shown [Read More]

Few Edges in the Major Indices Today

Larry Connors

The market is slightly overbought and yesterday’s Fed decision was in line with expectations. There are very few edges in the major indices today and we’ll wait patiently for the markets next move (it always comes). For today’s official Daily Battle Plan set-ups click here.

RSI25 Strategy Identifies Seven Potential Buys

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There are a number of quantified trading strategies that can be used to identify potential buys. It is also possible to combine several strategies in an effort to increase the odds of success. When several independent strategies or indicators confirm a signal, there is a higher expectation that the trade should work. The table below [Read More]

September Market Symmetry

Kevin Haggerty

In the previous commentary I said the current long term time symmetry date was in the first week of September, and that you could read it in the Trading Service commentary for 8/25/14 with a free 1-week trial to the Service. I have included several excerpts of that commentary today. “Next week is month end [Read More]

The Fed will take Center Stage Today

Larry Connors

That was a healthy rally yesterday and it allowed the Daily Battle Plan Model Portfolio to lock in gains in SPY on the close. The market is slightly overbought and the Fed will take center stage today. Obviously the main movement for the day will reflect their decision. For today’s official Daily Battle Plan set-ups [Read More]

ConnorsRSI Highlights Thirteen Potential Buys

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ConnorsRSI is not like most technical indicators. What separates ConnorsRSI from stochastics, MACD or any other widely followed indicator is the fact that ConnorsRSI is backed by quantified data. Traders deciding whether or not to use ConnorsRSI can make their decision based on publicly available test results. ConnorsRSI is a composite indicator consisting of three [Read More]

There is Nervousness Out There

Larry Connors

The overall market is now moderately oversold. Yesterday’s selling was more traditional of a pullback with QQQ and IWM declining sharply and the higher quality S&P 500 stocks, rising for the day as seen in SPLV (S&P 500 Low Volatility ETF). There is nervousness out there and another 1-2 days further of a pullback will [Read More]

How Professionals Are Different from Individual Traders

Trading seems like an area where individuals could fare as well as professionals but that is rarely the case.  Individuals face a number of challenges when it comes to trading and one challenge is to understand they are unlikely to beat professionals in some areas. Individuals might find success in day trading, for example, but [Read More]

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