Bearish S&P pattern

This is a short term trading system setup. The current price pattern, low relative VIX and decline in bond prices has bearish implications for the S&P near term if the S&P futures open above Wednesdays high 912.7 .

This 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 greater than 912.7 then Sell Short @ 912.7
Exit 1st profitable open or 2% stop loss

Out of the 7 short term trades that have hit since we started this blog, we 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 is up 99.4 pts in 7 trades.

Trading setups for June 1st

The S&P Model is long as of the close on May 14th. This model will sell the long and get short at the close tomorrow June 1st if the VIX stays above 28.85.



The NASDAQ model is short as of the close on May 20th. No open orders.



The VIX Model is short as of the close on May 26th. This model will cover the short and get long the VIX at the close tomorrow June 1st if the VIX stays above 28.85 or if the VIX closes above 28.92 or if the VIX closes above the VIX open.

Ripe Trades


At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Monday with the entry price limits specified , good for the day only.
Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.
These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AKAM,AMAT,AMGN,AMZN,BIDU,BIIB,
CSCO,CTSH,EBAY,ERTS,EXPD,FISV,GENZ,GILD,GRMN,ILMN,INTC,JAVA,LRCX,ORCL,
ORLY,PAYX,PCAR,PPDI,RIMM,RYAAY,URBN,VRSN,VRTX,XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade Setups for May 29th

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is short as of the close on May 20th. No open orders.

The VIX Model is short as of the close on May 26th. No open orders.


Ripe Trades


At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Friday with the entry price limits specified , good for the day only.
Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.
Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.
These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.



Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AKAM,AMAT,AMZN,ATVI,BIDU,BIIB,
CELG,CTSH,EBAY,EXPD,GENZ,GOOG,GRMN,HSIC,ILMN,INTC,JAVA,MSFT,ORCL,ORLY,
PCAR,RYAAY,SBUX,SPLS,URBN,VRSN,VRTX,XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trading Setups for May 28th

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is short as of the close on May 20th. No open orders.

The VIX Model is short as of the close on May 26th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Thursday with the entry price limits specified , good for the day only.

Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.

These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADP,AKAM,AMAT,AMZN,ATVI,BIDU,BIIB,CELG,CTSH,ESRX,EXPD,GENZ,GOOG,GRMN,
HOLX,HSIC,ILMN,INTC,JAVA,MSFT,ORCL,PCAR,RIMM,RYAAY,SYMC,URBN,VRSN,VRTX,
XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade Setups for May 27th

The S&P Model is long as of the close on May 14th. This model will sell the long and get short at the close tomorrow May 27th if the VIX stays above 30.38.

The NASDAQ model is short as of the close on May 20th. No open orders.

The VIX Model is short as of the close on May 26th. No open orders.

Ripe Trades


At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.


Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.


Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.


These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.


These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADP,,AKAM,AMZN,ATVI,BIDU,BIIB,CELG,CTSH,DTV,ESRX,EXPD,FWLT,GENZ,GOOG,
GRMN,HOLX,ILMN,INTC,JAVA,MSFT,NIHD,ORCL,RIMM,RYAAY,SBUX,SIAL,SYMC,
URBN,VRSN,VRTX,XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups for May 26th

Happy Memorial Day!

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is short as of the close on May 20th. No open orders.

The VIX Model is long as of the close on April 30th. This model will sell the long at the open then will get short at the close on Tuesday May 26th if the VIX stays below 32.71 or if the VIX closes below 32.63 or if the VIX closes below the VIX open.










Ripe Trades





At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Tuesday with the entry price limits specified , good for the day only.

Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.

These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.

These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADBE,ADP,AKAM,ALTR,AMZN,ATVI,BIDU,BIIB,CELG,CTSH,DTV,ESRX,EXPD,FWLT,GENZ,
GOOG,HOLX,ILMN,INTC,JAVA,MICC,NIHD,NTAP,ORCL,ORLY,RIMM,RYAAY,SBUX,SHLD,
SIAL,SPLS,SYMC,TEVA,URBN,VRTX,XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade Setups for May 22nd

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is short as of the close on May 20th. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades


At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Friday with the entry price limits specified , good for the day only.
Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.
Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.
These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.
These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.



Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADBE,ADP,ADSK,AKAM,ALTR,AMZN,ATVI,BIDU,BIIB,CELG,CTSH,DTV,ESRX,EXPD,FWLT,
GENZ,GOOG,HOLX,ILMN,INTC,JAVA,LIFE,MICC,NTAP,,ORCL,ORLY,RIMM,RYAAY,SIAL,
SPLS,SYMC,TEVA,URBN,XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade Setups for May 21st

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is short as of the close on May 20th. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Thursday with the entry price limits specified , good for the day only.

Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.

These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.

These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (BIDU,RIMM,RYAAY,TEVA,JAVA,ATVI,
HOLX,YHOO,SYMC,INTC,ALTR,NTAP,ORCL,ADSK,URBN,SPLS,AKAM,PDCO,DTV,FWLT,
CTSH,ADBE,CTXS,XRAY,EXPD,ADP,ROST,ORLY,ILMN,CELG,SIAL,CHRW,BIIB,GENZ,ESRX,
AMZN,ISRG,GOOG) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups for May 20th

The S&P Model is long as of the close on May 14th. This model will sell the long and get short at the close tomorrow May 20th if the VIX stays above 28.35.

The NASDAQ model is long as of the close on May 14th. This model will stop out @ 1353 and or sell the long and get short at the close tomorrow May 20th if the VXN stays above 29.04 or if the VXN closes above 29.56 or if the VXN closes above the VXN open.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trade


At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.


Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.


Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.


These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.


These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.



Breakout candidates


Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADBE,ADP,BIDU,BIIB,CTSH,CTXS,DTV,
ESRX,FISV,FWLT,GOOG,HOLX,ILMN,INTU,ISRG,JAVA,LIFE,NTAP,ORCL,PDCO,RIMM,
RYAAY,SIAL,SPLS,TEVA,URBN,XRAY,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups for May 19th

The S&P Model is long as of the close on May 14th. This model will sell the long and get short at the close tomorrow May 19th if the VIX stays above 30.

The NASDAQ model is long as of the close on May 14th. This model will stop out @ 1353 and or sell the long and get short at the close tomorrow May 19th if the VXN stays above 30.04 or if the VXN closes above 30.22 or if the VXN closes above the VXN open.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Thursday with the entry price limits specified , good for the day only.Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADBE,ADP,AMGN,BIDU,CEPH,CTXS,DTV,
ESRX,FISV,FWLT,GILD,GOOG,ILMN,INTU,ISRG,JAVA,LIFE,MICC,NTAP,ORCL,RIMM,RYAAY,
SIAL,SPLS,TEVA,YHOO) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Another bullish pattern for May 18th

We will try again to get the short term system long on Monday. The current price pattern in the S&P futures is still bullish, if the S&P has a big gap down at the open on Monday May 18th. Both the S&P and NDX intermediate term models are long as of Thursdays close, so a gap down on Monday may be a good opportunity to buy for a short term trade while the intermediate term models are in a drawdown. FYI, the models that we update daily are the intermediate term models and trades typically last 7 days. The patterns we write about such as this post which are always accompanied with a performance report are short term setups and the trades typically last 1-3 days, the performance report shows the average bars in the particular pattern.

Out of the 7 short term trades that have hit since we started this blog, we 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 is up 99.4 pts in 7 trades.

This 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 less than 873 then Buy @ MKT
Exit 1st profitable open or 2% stop loss

Trade Setups for May 18th

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is long as of the close on May 14th. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Thursday with the entry price limits specified , good for the day only.Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADBE,AMGN,BIDU,BIIB,CEPH,CTSH,CTXS,DTV,EBAY,FISV,FWLT,GILD,ILMN,INFY,INTU,
ISRG,JAVA,LIFE,MICC,NIHD,ORCL,RIMM,RYAAY,SIAL,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Bullish short term S&P pattern May 15th

The current price pattern in the S&P futures is bullish, if the S&P gaps down 9 pts or more at the open tomorrow May 15th. Both the S&P and NDX intermediate term models are long as of todays close, so a gap down tomorrow may be a good opportunity to buy for a short term trade while the intermediate term models are in a drawdown. FYI, the models that we update daily are the intermediate term models and trades typically last 7 days. The patterns we write about such as this post which are always accompanied with a performance report are short term setups and the trades typically last 1-3 days, the performance report shows the average bars in the particular pattern.

Out of the 7 short term trades that have hit since we started this blog, we 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, 15pts 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 is up 99.4 pts in 7 trades.

This 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 less than 880.5 then Buy @ MKT
Exit 1st profitable open or 2% stop loss

Trading setups for May 15th

The S&P Model is long as of the close on May 14th. No open orders.

The NASDAQ model is long as of the close on May 14th. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades


At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Thursday with the entry price limits specified , good for the day only.Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AMGN,BIDU,BIIB,CA,CTSH,CTXS,DTV,
EBAY,FISV,FSLR,GILD,GOOG,ILMN,JAVA,LIFE,MICC,RIMM,RYAAY,SIAL,SPLS,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups May 14th

The S&P Model is short as of the close on April 27th. This model will cover the short and get long the S&P at the close tomorrow May 14th if the VIX stays below 33.99.

The NASDAQ model is flat and in cash. This model will get long the NDX at the close tomorrow May 14th if the VXN stays below 35.59 or if the VXN closes below 34.98 or if the VXN closes below the VXN open.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Thursday with the entry price limits specified , good for the day only.
Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.
Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.
These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.
These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADSK,AMZN,BIDU,BIIB,CA,CTAS,EBAY,ESRX,GOOG,ILMN,JAVA,LIFE,MICC,PAYX,QCOM,RYAAY,SIAL,SPLS,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trading setups for May 13th

The S&P Model is short as of the close on April 27th. No open orders.

The NASDAQ model is flat and in cash. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.

Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.

These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.

These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADSK,AMZN,BIDU,BIIB,CA,CTAS,EBAY,
ESRX,GOOG,ILMN,JAVA,LIFE,MICC,PAYX,QCOM,RYAAY,SIAL,SPLS,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups for May 12th

The S&P Model is short as of the close on April 27th. No open orders.

The NASDAQ model is flat and in cash. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AMZN,BIIB,CA,CTAS,EBAY,ESRX,ILMN,
JAVA,PAYX,QCOM,SHLD,SPLS,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade Setups for May 11th

The S&P Model is short as of the close on April 27th. No open orders.

The NASDAQ model is flat and in cash. No open orders.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.
Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AMZN,BIIB,CA,COST,CTAS,EBAY,
JAVA,QCOM,SHLD,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups May 8th

The short term, short setup will exit based on a “1st profitable open exit” at the open tomorrow May 8th if the Big S&P futures open below the entry price of 925.5


The S&P Model is short as of the close on April 27th. No open orders.

The NASDAQ model is flat and in cash. No open orders.



The VIX Model is long as of the close on April 30th. No open orders.






Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADBE,AMZN,BBBY,BIIB,CA,COST,CTAS,EBAY,GOOG,JAVA,LLTC,NTAP,ORLY,PAYX,PCAR,
QCOM,SHLD,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Bearish S&P pattern for May 7th

We will keep probing until the short term system gets short. The current pattern, low relative VIX and low bond prices set up a bearish S&P scenario, if tomorrow the S&P futures open above 918. This pattern has occurred 50 times in the past and all trades have been winners when using the entry and exit criteria below. Also, the high number of ripe trade short setups may help this bearish pattern.

If open is greater than 918 then sell short @ mkt
Exit 1st profitable open or 2% stop loss

Entry criteria is based on the big S&P futures price 9:30 EST time open. You can get quotes here.

Out of the 6 short term trades that have hit since we started this blog, we made 45.2 points on the long from April 1st , plus a 12pt win on the Feb 24th long entry, 15pts 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 is up 89.9 pts in 6 trades. The performance results are based on 1 large contract trades since 1982

Again this setup criteria is based on the big S&P contract not the ES .

Trade setups for May 7th

The S&P Model is short as of the close on April 27th. No open orders.


The NASDAQ model is long as of the close on April 29th. This model will sell the long and get flat at the close tomorrow May 7th if the VXN stays above 33.26 or if the VXN closes above 33.28 or if the VXN closes above the VXN open. This model will stop out @ 1385.


The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.
Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.
Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.
These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.
These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AMZN,BBBY,BIIB,CA,COST,CTAS,EBAY,
GENZ,HANS,JAVA,LLTC,NTAP,ORCL,ORLY,PAYX,PCAR,ROST,SHLD,SYMC,TEVA) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Trade setups May 6th

The S&P Model is short as of the close on April 27th. No open orders.

The NASDAQ model is long as of the close on April 29th. This model will sell the long and get flat at the close tomorrow May 6th if the VXN stays above 33.42 or if the VXN closes above 33.42 or if the VXN closes above the VXN open. This model will stop out @ 1378.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Wednesday with the entry price limits specified , good for the day only.

Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.

These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.

These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.
Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADP,AMZN,BBBY,BIIB,CA,CHRW,COST,
CTAS,GOOG,IACI,JAVA,LLTC,NTAP,ORCL,ORLY,PAYX,SHLD,SYMC) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Bearish S&P pattern for May 5th

Lets give the short another shot as yesterdays setup didn't trigger. The current pattern, low relative VIX and low bond prices set up a bearish S&P scenario, if tomorrow the S&P futures open above 904.5. This pattern has occurred 50 times in the past and all trades have been winners when using the entry and exit criteria below. Also, the high number of ripe trade short setups may help this bearish pattern.

If open is greater than 904.5 then sell short @ mkt
Exit 1st profitable open or 2% stop loss

Entry criteria is based on the S&P futures price 9:30 EST time open. You can get quotes here.

Out of the 6 short term trades that have hit since we started this blog, we made 45.2 points on the long from April 1st , plus a 12pt win on the Feb 24th long entry, 15pts 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 is up 89.9 pts in 6 trades.The performance results are based on 1 large contract trades since 1982

Trade setups May 5th

The S&P Model is short as of the close on April 27th. No open orders.

The NASDAQ model is long as of the close on April 29th. This model will sell the long and get flat at the close tomorrow May 5th if the VXN stays above 34.8 or if the VXN closes above 35.05 or if the VXN closes above the VXN open. This model will stop out @ 1306.

The VIX Model is long as of the close on April 30th. No open orders.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Tuesday with the entry price limits specified , good for the day only.
Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.
Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.
These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.
These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates
Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (ADP,AMZN,BBBY,BIIB,CA,COST,CTAS,
DTV,FWLT,GOOG,JAVA,LLTC,NTAP,ORCL,ORLY,PAYX,RIMM,SHLD,SPLS,SYMC) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.

Bearish S&P pattern May 4th

The current pattern, low relative VIX and low bond prices set up a bearish S&P scenario, if tomorrow the S&P futures open above 878 then decline 2 points below the open. This pattern has occurred 48 times in the past and all trades have been winners when using the entry and exit criteria below.

If open is greater than 878 then sell short @ Open - 2pts
Exit 1st profitable open or 2% stop loss

Entry criteria is based on the S&P futures price 9:30 EST time open. You can get quotes here.
Out of the 6 short term trades that have hit since we started this blog, we made 45.2 points on the long from April 1st , plus a 12pt win on the Feb 24th long entry, 15pts 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 is up 89.9 pts in 6 trades.

The performance results are based on 1 large contract trades since 1982

Trade setups May 4th

The S&P Model is short as of the close on April 27th. No open orders.


The NASDAQ model is long as of the close on April 29th. This model will sell the long and get flat at the close tomorrow May 4th if the VXN stays above 34.86 or if the VXN closes above 35.05 or if the VXN closes above the VXN open.


The VIX Model is long as of the close on April 30th. No open orders.

The road map image at left shows the current long and short term influences on the S&P and real time out of sample performance results on the models mentioned above, for a longer term model performance history click on the links above.

Ripe Trades

At left you will find a list of long and short candidates. Historically these long and short setups have performed quite nicely when using the entry levels specified next to the ticker and the exit rules below. Here is the real time out of sample performance review of the Ripe Trade results for the year 2008.These are the stocks that qualify for Monday with the entry price limits specified , good for the day only.

Long Exit rules – Exit at the close on the day when a 2 day RSI close is greater than 50 or exit on the first profitable open with a 1 day delay. The 1st profitable open with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st open that is greater than my entry price.

Short Exit rules - Exit at the close on the day when a 2 day RSI close is less than 70 or exit on the 1st profitable close with a 1 day delay. The 1st profitable close with 1 day delay dictates that I hold the position for at least 2 trading days which includes the entry day then exit on the 1st close that is less than my entry price.

These setups don’t have a stop loss, our research has showed through back testing that this strategy works best without a stop loss. A few ways to limit the risk without a stop loss are 1) Position Size - lowering your position size lessens risk. 2) Watch out for single sector exposure, don’t let one single sector become too big a percentage of your account. 3) Consider using options for blowout protection. For longs consider buying way out of the money puts and for shorts consider buying way out of the money calls. This will create a catastrophe stop that protects you even if the stock has an extreme overnight gap.

These setups are for education and entertainment purposes only this is not a recommendation or solicitation. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

Breakout candidates

Here is a list of stocks that meet the breakout trade setup criteria of a 10 day Bollinger band width in the bottom decile for a 200 day look back. (AAPL,ADP,BBBY,BIIB,CTAS,DTV,FWLT,
GOOG,IACI,JAVA,LLTC,MCHP,NTAP,NVDA,ORCL,ORLY,PAYX,PDCO,RIMM,SHLD,SYMC) The next step is to look for a big gap tomorrow (greater than 1 range above or below the close) then enter on a bull or bear range pivot in the same direction as the gap.The real time 2008 performance results are hereOne thought on the breakout candidates is to incorporate trend and only take buy signals of stocks in an uptrend and sell signals for stocks in a downtrend. To get a free analysis of trend click here.