Algokid

Algokid

The so called "expert" keep reaping the same message. "We see a hard landing in China" " we expect a soft landing for China " etc, etc . What landing are they talking about ? In past 6 weeks , FXI , has gained over 12 % than the S&P 500. BUT we are now approaching multi year resistance. We shall see if this rally is for real. If broken , expect a big move in...

Algokid

CORRELATION :74% COINTEGRATION : 0.77 LONG UPS(GREEN) @ $ 72.59 SHORT FDX (RED) @ 90.65

Algokid

CORRELATION :91% COINTEGRATION : 0.81 LONG COST(GREEN) @ $ 96.51 SHORT WMT (RED) @ 77.15

Algokid

Interesting pair here. Although the ETFs are tracking different sectors, the correlation between the two in the past 100 days is good ( 70 % + ), but more importantly , the co -integration is high @ 86 %. This is the 3rd trade this year for this pair. So far, all trades have been successful. CORRELATION : 70% COINTEGRATION : 0.86 LONG SOXX (GREEN) @ 50.02 SHORT...

Algokid

- Bad investments ( overpaying for Draw something) - Bad Management - Talented engineers rushing for the exit One of the worst tech. company ever P.S . Analysts slashed the price of Facebook.

Algokid

CORRELATION : 81 % CO - INTEGRATION : 0.91 LONG HPY (GREEN) @ 30.23 SHORT V (RED) @ 138.51

Algokid

CORRELATION : 70 % COINTEGRATION : 0.71 LONG EWZ (GREEN) @ 54.84 SHORT PIN (RED) @ 19.04

Algokid

Since falling more than 10 % in 2 month, TLT bounce and made a nice rally back to it's previous support level ( now resistance) . The rally is now over , and expect TLT to continue it's descent . If however the price breaks it's resistance, this may be sign that the economy is in more trouble than we think.

Algokid

Early this week , the euro and usd broke their resistance (euro) and support( usd). But when long term resistance and support lines are added to the charts, we can see that long term, the euro may continue to go down. Additionally, the Fib lines "confirm" point of support and resistance in both currency. Was the ECB and U.S FED actions this week enough ? time will...

Algokid

CORRELATION : 83 % CO-INTEGRATION : 0.93 LONG CEO (GREEN) @ 186.40 SHORT APA (RED) @ 89.90 AVG TRADE LENGTH : 29 DAYS Over the past 2 years , this pair trade had a 100% winning rate ( 3/3)

Algokid

Has you can see on the chart, The euro has broken its ~ 1 year resistance. The ECB announced yesterday that they would buy UNLIMITED amount of 1 - 3 yr bonds for the next 3 months or so. Will this be sufficient to lift the Euro long term ? Is this the beginning of end of the Euro crisis ? or this is simply another lower high ? The break is confirmed on the...

Algokid

All BRICs countries broke or breaking their uptrend resistance.

Algokid

As you can see, the U.S has been outperforming the BRIC by as much as 60 % . Now, will the U.S pull the BRIC countries out of there misery or will they drag the U.S down ?

Algokid

SIRI has broken it 's resistance around 2.50 . Although there 's more resistance level to be broken, I'm bullish on the stock. Another reason I like this stock, is the insider buying action during the month of August by Liberty Media Corp. For the month of August , the bought the following Aug 10 -14 - 89.9 million shares Aug 24 - 28 - 4.2 million shares Aug...

Algokid

Although Gold is forming a descending bearish triangle ,investors are bullish more then ever. The biggest bulls, Soros and Paulson, increased their position in GLD. Soros bough 21.8 millions shares and Paulson 884,000 shares. Technically speaking , GLD broke its weekly and monthly resistance. I`m long GLD with a stop @ 150. good read: www.bloomberg.com

Algokid

Correlation : 96 % Co integration : 70 % LONG F (GREEN) @ 9.63 SHORT GM ( RED) @ 21.87 AVG TRADE LENGTH : 12 DAYS. WINNING % : 66.67 % ( based on past two year back testing)

Algokid

Food for thoughts The VIX is at it's lowest level since 2007 and the DOW is up against the top of a 70 year channel. Dan Greenhaus from BTIG made a nice observation of the VIX . Each time the VIX futures hits 16 % or lower, this is follow by a losing streak in the S&P, see table. He finishes his commentary with this recommendation for the advisers " This is a...

Algokid

Sounds crazy, but I believe BAC has already bottomed and ready to go up again. Historically, the buy volume at this price level is pretty high. The price is currently above it's 10 month EMA. I have no stop , or specific target for the trade, but will review once resistance is hit around $9.41. Will manage trade on a monthly basis.