Regarding the SPY Pro system, here's some additional information
that you might find useful and there's also a video at the bottom
that you should take the time to watch.
First off if you are following the scaleout version remember
that the scaleouts are always at the same price and are easy to
calculate, which will enable you to place GTC sell limit orders
ahead of time.
- At a 1% gain the system sells 20% of its shares
- AT a 2.5% gain the system sells another 20% of its shares
- At a 4.5% gain the system sells another 20% of it's shares
- The remaining 40% shares are held until the exit.
If you are following the scaleout version it's best to simply
place GTC sell limit orders in place so that they will execute
automatically for you vs waiting for me to send an email (which can
take 20 min and price will have moved by then), therefore simply
place the sell orders in ahead of time.
Currently the SPY Pro system went long SPY at a price of
$184.34, therefore the calculation for the scaleout prices is as
follows:
- 1% gain is at 1.01 * $184.34 = $186.18 is the price where 20%
of the shares will be sold
- 2.5% gain = 1.025 * $184.34 = $188.95 is the price where a
second 20% of the shares will be sold
- 4.5% gain = 1.045 * $184.34 = $192.64 is the price where a
third 20% of the shares will be sold
Again all these scaleouts may not be achieved if the market
decides to sell off again or the system exits earlier.
You can choose to follow the scaleouts or not follow them, it's
your choice. There are benefits and drawbacks with the
scaleouts vs not scaling out. The scaleout version of the
system has a higher winning percentage but makes less money over
time because you are scaling out of winning trades and thus do not
have a full position if the trade is a big winning trades, whereas
the non scaleout has a lower winning percentage but makes more
money over time because on the large winning trades you always have
a full position. Click the link below to see a short video on
the scaleout vs non-scaleout version.
SPY needs about 55 cents to achieve the first
scaleout,
I'm still nervous about this market and so I would like the
system to take something off honestly, the bounce off the lows so
far has been choppy and not impulsive
SPY Pro system scaleout comments
Posted by matt on 8th of Apr 2014 at 01:32 pm
Regarding the SPY Pro system, here's some additional information that you might find useful and there's also a video at the bottom that you should take the time to watch.
First off if you are following the scaleout version remember that the scaleouts are always at the same price and are easy to calculate, which will enable you to place GTC sell limit orders ahead of time.
- At a 1% gain the system sells 20% of its shares
- AT a 2.5% gain the system sells another 20% of its shares
- At a 4.5% gain the system sells another 20% of it's shares
- The remaining 40% shares are held until the exit.
If you are following the scaleout version it's best to simply place GTC sell limit orders in place so that they will execute automatically for you vs waiting for me to send an email (which can take 20 min and price will have moved by then), therefore simply place the sell orders in ahead of time.
Currently the SPY Pro system went long SPY at a price of $184.34, therefore the calculation for the scaleout prices is as follows:
- 1% gain is at 1.01 * $184.34 = $186.18 is the price where 20% of the shares will be sold
- 2.5% gain = 1.025 * $184.34 = $188.95 is the price where a second 20% of the shares will be sold
- 4.5% gain = 1.045 * $184.34 = $192.64 is the price where a third 20% of the shares will be sold
Again all these scaleouts may not be achieved if the market decides to sell off again or the system exits earlier.
You can choose to follow the scaleouts or not follow them, it's your choice. There are benefits and drawbacks with the scaleouts vs not scaling out. The scaleout version of the system has a higher winning percentage but makes less money over time because you are scaling out of winning trades and thus do not have a full position if the trade is a big winning trades, whereas the non scaleout has a lower winning percentage but makes more money over time because on the large winning trades you always have a full position. Click the link below to see a short video on the scaleout vs non-scaleout version.
CLICK HERE to watch the video
Scaleout hit!!
Posted by matt on 9th of Apr 2014 at 02:05 pm
Scaleout hit!!
The SPY just hit a
Posted by matt on 9th of Apr 2014 at 02:03 pm
The SPY just hit a high of 186.16, the scaleout is 186.18, so very close
SPY needs about 55 cents
Posted by matt on 9th of Apr 2014 at 09:32 am
SPY needs about 55 cents to achieve the first scaleout,
I'm still nervous about this market and so I would like the system to take something off honestly, the bounce off the lows so far has been choppy and not impulsive
Two 50k bear put spreads put on the SPY today
Posted by cmunny on 9th of Apr 2014 at 11:43 am
Don't worry , be bearish May 183 / 175 debit bear put spread and June 181 /171 debit bear put spread. Can't beat'em , join 'em.
where are you seeing them?
Posted by law6 on 9th of Apr 2014 at 01:16 pm