Hello everyone, on the SPY and ES mean reversion systems, as you know most excited: the SPY QE BTS exits tomorrow morning at the open but we exited today.

The ES Trend/Pullback is still long. However, since it has met its first mean reversion target, I'm electing to exit 1/2 of the position and leave the other 1/2 for the system to exit. 

1st entry 2 contracts, selling 1. 2nd entry 4 contracts, selling 2, and 3rd entry was 6 contracts, selling 3,

this leaves 1, 2, and 3 contracts for 1st, 2nd, and 3rd

here's the table - I'm using current MES prices here

NICE gains! Again realize on things like MES futures not everyone is going to do 3 and 6 contracts, some would do 1/2 that 1,2,3, while some folks may do a lot more or use ES futures instead who have larger accounts, and some who don't want to trade futures can alway substitute the ETF's in place of MES futures. 

VERY nice gains here - look at the table of trade results - a BPT subscriber could have paid for their subscription for many years over if they followed these trades, which I communicated each entry for to our subscribers!

that said there is a big tax benefit of futures over ETF's, for futures you have the 60/40 tax rule where 60% of your gains are taxed at long term capital gains, and the other 40% are taxed at short-term cap gains. For stocks, you have to hold for over a year to get that, but for futures you can hold for 1 second and still get that - kind of a tax loophole for the rich basically. If you are rich it's best to buy futures over ETF's

Matt