Posted by eddiegold on 23rd of Jul 2024 at 08:47 am
Hi Matt/Steve,
A question about the KISS,Vix,SPY systems.
How can we reconcile the three? The SPY system says up, the KISS
system says flat and VIX system says up which should mean spy down
(right?). Is it basically a different timeline? I.e. QE momo
will play out in a few days, the vix will play out over several
weeks and KISS will kick back in once the chop ends and the trend
starts again?
One does not reconcile the 3, but I think the VIX is saying SPY
up, BTW, I am cautious at this point. Paid for my BPT
memebership for over a year on the Trend/Pullback long, but really
dont want to give it back LOL, ouch.
Ouch? the market is up. Again the official website trades
are the mean reversion systems and KISS systems - SPY and ES
systems went long last Friday. I posted the QQQ volatilty
system on Friday so if anyone happened to take that you did very
well and can close it out now for a profit - hell even if you took
the trade on Monday morning on the gap up you did very well -
otherwise VIX systems are not emailed out at this time
and hopefully you played more than just the Trend/Pullback mean
reversion systems - there has been very few signals this year
because of the strong market trend, the KISS systems nailed most of
the uptrend this year so hopefull you played some of those and some
other trade ideas here
maybe I'm still confused by your question which I apologize
for -
feel free to send me a private message here, I can talk to
you on the
phone later or we can do a quick Zoom callto answer your
questions if I'm not covering them here
for clarity the volatlity systems for SPY and DIA went long
yesterday not short - as the volatlity instrument for those ETF's
(VIX and VXD) closed back insider their upper Bollinger Bands.
Short signals occur when those volatity instruments are
trading below their respective Bollinger Bands and close back
inside. recent signals were longs, not shorts
Posted by eddiegold on 23rd of Jul 2024 at 01:41 pm
Hi Matt,
Thanks for the detailed response (and Steve's too). The
link for the private message did not work (but would be happy to
talk anytime) so I will try and clarify my question:
- I did not enter any VIX trade, I just wanted to understand the
signal. I do use the KISS systems and I take the SPY reversion
trades regularly.
- It is my understanding that SPX/VIX usually move counter to
each other. Hence, me saying "VIX system says up which should mean
spy down". Steve commented in a different thread that that was
wrong and the the signal is actually SPX up. So my
clarification question is actually two fold:
1. Was the alert (when it was sent) a LONG VIX alert?
2. Am I correct that a LONG VIX means short SPX and vice
versa?
Thanks guys and thank you for your great mechanical systems!
p.s. (unrelated) I still do not understand how you draw a demand
zone. "Demand zones are formed by a break of structure and revert
to back to the origin". I saw it appearing in several newsletters
but I still do not get it. i.e. I can figure the BOS (mostly)
but I do not understand the revert to origin part.
Eddie - it was a not a long VIX alert (it was a SPX long alert
based upon the VIX moving DOWN below it's upper BB). Kind of
confusing on the surface but make sure you listen to the Newsletter
as this was discussed.
Hello Eddigold - the VIX systems I discussed yesterday are the
default Stockcharts one that uses Bolinger Bands of 20/2 settings.
This also works well for the VVIX, however I didn't discuss
the stats for the VVIX Bollinger Band system, but they are very
similar to the VIX / BB stats
The volatilty systems that I have coded in Tradestation use
different settings for Bollinger Bands. I discussed what the
stats were with the default 20/2 settings used on Stockcharts,
however the various stats I showed here and last night were
ofcuston settings for SPY, and DIA, and QQQ.
The custom SPY Vix BB system triggered yesterday as did the
standard default setting for Stockcharts. The DIA also
triggered, and the QQQ triggered on Friday.
I posted the QQQ volatility system on Friday and discussed it on
the weekend, and I posted the SPY and DIA yesterday and discussed
them - that said, remember I don't email these out as system trades
for the website at this time - I posted them for informational
purposes. If you choose to do one or more of these that's your
choice but they are not communicated in real time here for official
website system trades at this time.
These also close out the trade after price closes above a short
term moving average such as the 8 SMA or or 9 SMA, it varies
depending on the backtested seettings. There's also a
trailing stop that can kick in that wills use the previous day's
lows for a stop.
anyway in case you or anyone took one or more of these trades,
I'll communicate what the do, when they close out etc
otherwise in the future if I add these 12 volatility sytemes,
I'll have a section on the website with stats and the exact trade
rules etc.
eddie - first of all make sure you listen to ALL THE NEWSLETTERS
- Matt discussed all this last evening so please take time to
review asap. Also, the VIX moved below it's upper BB
which produces a buy SPX signal (opposite of what you
posted).
Best to view all such systems as mutually exclusive and follow
your plan.
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Hi Matt/Steve, A question about the
Posted by eddiegold on 23rd of Jul 2024 at 08:47 am
Hi Matt/Steve,
A question about the KISS,Vix,SPY systems.
How can we reconcile the three? The SPY system says up, the KISS system says flat and VIX system says up which should mean spy down (right?). Is it basically a different timeline? I.e. QE momo will play out in a few days, the vix will play out over several weeks and KISS will kick back in once the chop ends and the trend starts again?
One does not reconcile the
Posted by steveo on 23rd of Jul 2024 at 09:36 am
One does not reconcile the 3, but I think the VIX is saying SPY up, BTW, I am cautious at this point. Paid for my BPT memebership for over a year on the Trend/Pullback long, but really dont want to give it back LOL, ouch.
Ouch? the market is up.
Posted by matt on 23rd of Jul 2024 at 09:49 am
Ouch? the market is up. Again the official website trades are the mean reversion systems and KISS systems - SPY and ES systems went long last Friday. I posted the QQQ volatilty system on Friday so if anyone happened to take that you did very well and can close it out now for a profit - hell even if you took the trade on Monday morning on the gap up you did very well - otherwise VIX systems are not emailed out at this time
and hopefully you played more than just the Trend/Pullback mean reversion systems - there has been very few signals this year because of the strong market trend, the KISS systems nailed most of the uptrend this year so hopefull you played some of those and some other trade ideas here
maybe I'm still confused by your question which I apologize for - feel free to send me a private message here, I can talk to you on the phone later or we can do a quick Zoom callto answer your questions if I'm not covering them here
for clarity the volatlity systems
Posted by matt on 23rd of Jul 2024 at 09:54 am
for clarity the volatlity systems for SPY and DIA went long yesterday not short - as the volatlity instrument for those ETF's (VIX and VXD) closed back insider their upper Bollinger Bands. Short signals occur when those volatity instruments are trading below their respective Bollinger Bands and close back inside. recent signals were longs, not shorts
Hi Matt, Thanks for the detailed
Posted by eddiegold on 23rd of Jul 2024 at 01:41 pm
Hi Matt,
Thanks for the detailed response (and Steve's too). The link for the private message did not work (but would be happy to talk anytime) so I will try and clarify my question:
- I did not enter any VIX trade, I just wanted to understand the signal. I do use the KISS systems and I take the SPY reversion trades regularly.
- It is my understanding that SPX/VIX usually move counter to each other. Hence, me saying "VIX system says up which should mean spy down". Steve commented in a different thread that that was wrong and the the signal is actually SPX up. So my clarification question is actually two fold:
1. Was the alert (when it was sent) a LONG VIX alert?
2. Am I correct that a LONG VIX means short SPX and vice versa?
Thanks guys and thank you for your great mechanical systems!
p.s. (unrelated) I still do not understand how you draw a demand zone. "Demand zones are formed by a break of structure and revert to back to the origin". I saw it appearing in several newsletters but I still do not get it. i.e. I can figure the BOS (mostly) but I do not understand the revert to origin part.
Eddie - it was a
Posted by steve on 23rd of Jul 2024 at 02:00 pm
Eddie - it was a not a long VIX alert (it was a SPX long alert based upon the VIX moving DOWN below it's upper BB). Kind of confusing on the surface but make sure you listen to the Newsletter as this was discussed.
Thanks to all you guys
Posted by srusso1 on 23rd of Jul 2024 at 02:06 pm
Thanks to all you guys I'm out of here gone to the green river UT. Canyonlands' see you in 2 weeks.
Enjoy srusso1
Posted by steve on 23rd of Jul 2024 at 02:11 pm
Enjoy srusso1
Hello Eddigold - the VIX
Posted by matt on 23rd of Jul 2024 at 09:17 am
Hello Eddigold - the VIX systems I discussed yesterday are the default Stockcharts one that uses Bolinger Bands of 20/2 settings. This also works well for the VVIX, however I didn't discuss the stats for the VVIX Bollinger Band system, but they are very similar to the VIX / BB stats
The volatilty systems that I have coded in Tradestation use different settings for Bollinger Bands. I discussed what the stats were with the default 20/2 settings used on Stockcharts, however the various stats I showed here and last night were ofcuston settings for SPY, and DIA, and QQQ.
The custom SPY Vix BB system triggered yesterday as did the standard default setting for Stockcharts. The DIA also triggered, and the QQQ triggered on Friday.
I posted the QQQ volatility system on Friday and discussed it on the weekend, and I posted the SPY and DIA yesterday and discussed them - that said, remember I don't email these out as system trades for the website at this time - I posted them for informational purposes. If you choose to do one or more of these that's your choice but they are not communicated in real time here for official website system trades at this time.
These also close out the trade after price closes above a short term moving average such as the 8 SMA or or 9 SMA, it varies depending on the backtested seettings. There's also a trailing stop that can kick in that wills use the previous day's lows for a stop.
anyway in case you or anyone took one or more of these trades, I'll communicate what the do, when they close out etc
otherwise in the future if I add these 12 volatility sytemes, I'll have a section on the website with stats and the exact trade rules etc.
eddie - first of all
Posted by steve on 23rd of Jul 2024 at 09:07 am
eddie - first of all make sure you listen to ALL THE NEWSLETTERS - Matt discussed all this last evening so please take time to review asap. Also, the VIX moved below it's upper BB which produces a buy SPX signal (opposite of what you posted).
Best to view all such systems as mutually exclusive and follow your plan.