per some recent comments about the GDX KISS system stopping out
as well as a few of the mining stocks, and my discussion
before - the KISS system in its default settings struggles with GDX
and a lot of the PM mining stocks - because that sector is just too
choppy and does not trend well over the long term on a daily chart.
The KISS was designed initially for the major indexes that go
through trending periods. For GDX, 1/2 of the years it's been
in existence are down years, which is opposite of the general
market where 80% or more of the years are up years. I would
generally avoid following KISS as an ONLY trigger for an entry and
exit on GDX and various gold stocks
again I have some custom settings for GDX that work extremely
well on a smaller time frame than the daily, such as a 1/2 day or
78 min 5 bar daily chart, that I shared last week - I may
eventually be able to eventually add some of these custom KISS
systems on a small basket of ETF's, but that's not ready
yet
also on the KISS systems for other things that work well - the
systems are only about 60% profitable and sometimes less. They stop
out a lot. They make their money on catching a big move and can
then afford to go through a whipsaw small losers and still be
profitable. Also, and not always, many times after the system
catches a really big winner, like QQQ daily did from Mar - Aug, or
NVDA, META etc, more often than not the next trade ends up being a
whipsaw. Again it's not always the case but it happens a lot. If
you see that a stock or ETF has closed out of a big winning trade
and now it enters again, realize that trade may not work out as
well.
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guys regarding the daily KISS systems
Posted by matt on 28th of Sep 2023 at 10:27 am
per some recent comments about the GDX KISS system stopping out as well as a few of the mining stocks, and my discussion before - the KISS system in its default settings struggles with GDX and a lot of the PM mining stocks - because that sector is just too choppy and does not trend well over the long term on a daily chart. The KISS was designed initially for the major indexes that go through trending periods. For GDX, 1/2 of the years it's been in existence are down years, which is opposite of the general market where 80% or more of the years are up years. I would generally avoid following KISS as an ONLY trigger for an entry and exit on GDX and various gold stocks
again I have some custom settings for GDX that work extremely well on a smaller time frame than the daily, such as a 1/2 day or 78 min 5 bar daily chart, that I shared last week - I may eventually be able to eventually add some of these custom KISS systems on a small basket of ETF's, but that's not ready yet
also on the KISS systems for other things that work well - the systems are only about 60% profitable and sometimes less. They stop out a lot. They make their money on catching a big move and can then afford to go through a whipsaw small losers and still be profitable. Also, and not always, many times after the system catches a really big winner, like QQQ daily did from Mar - Aug, or NVDA, META etc, more often than not the next trade ends up being a whipsaw. Again it's not always the case but it happens a lot. If you see that a stock or ETF has closed out of a big winning trade and now it enters again, realize that trade may not work out as well.