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Tuesday, September 1, 2009

Bullish setup for the S&P

The current oversold market condition , price pattern, spike in VIX and spike in bond prices set up a short term bullish scenario for the S&P, if tomorrow September 2nd the S&P futures open below 996.5 This pattern has made money 38 times out of the 38 occurrences since 1982.The setup criteria is based on the big S&P contract not the ES .Entry criteria is based on the big S&P futures price 9:30 EST time open. You can get quotes here. The performance results are based on 1 large contract trades since 1982

If open is below 996.5 then buy at mkt.
Exit 1st profitable open or 2% stop loss

Out of the 10 short term trades that have hit since we started this blog, we lost 18.8pts from the short on July 20th, we made 17 pts from the long on July 9th, made 14.8pts from the short on June 5th, made 9.5 pts from the May 7th short ,made 45.2 points on the long from April 1st , plus a 12pt win on the Feb 24th long entry, 15pt win on the Jan 15th long entry, lost 17.3 pts from Jan 13th long entry, lost 17 pts on November 18th, and made 52 pts on the win from October 28th Net, the short term system made money on 7 out of 10 trades for a total gain of 112.4 pts.

6 comments:

Damian said...

Silly question - what's the software you're using for testing - I don't recognize it. Thanks!

Ripe Trade said...

Genesis

Damian said...

Is that Laser? I thought it didn't have backtesting....you have a link for the software?

Ripe Trade said...

http://www.genesisft.com/

Damian said...

Never mind - I was thinking of a different Genesis - you're obviously using Trade Navigator. What do you think of it? Looks interesting but pricey.

Ripe Trade said...

I think it’s a great product. Its better for backtesting futures versus stocks. The performance report is lacking in that it doesn’t show you the average trade in terms of a percentage move, it only shows the average dollar move. Other than that I think the software is good and real easy to learn and use.