Trading the Line

Imbolc

January closes with heavy selling.

The market opens well below the Sell Signal line at 3785 finds initial support at 3750 for a bounce to 3776 before continuing lower, finding strong support at 3695 for a very choppy recovery to 3740 with end of day selling.

A Sell Signal active.

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Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

Steve Rushton February 1, 2021No Comments

S&P500 intraday update S&P500 signal

S/T SELL Signal active below 3785

Market opens well below the Sell Signal line at 3785 making short entry difficult and high risk.

A drop into 3750 is met with strong buying but fades at 3776 and quickly moves lower eventually finding buyers at 3695-6 for a choppy recovery to 3740.

Sell Signal active.

…

Steve Rushton January 29, 2021No Comments

S&P500 daily update

Nevermore

Another wild day on Wall Street with strong buying from the open quickly cancelling the previous Sell Signal and triggering a Buy Signal above 3821. No progress beyond 3830 and afternoon action stops the Buy Signal at breakeven and selling continues into the close.

Too much too quickly or just a 'rescue operation'.

A Cover Signal.

Steve Rushton January 29, 2021No Comments

S&P500 intraday update S&P500 signal

COVER Signal below 3821

A very bullish morning quickly cancelling yesterday's Sell Signal with strong buying from the open up through yesterday's highs and above the Buy Signal line at 3821 reaching 3829 and re-testing 3830 before fading and dropping back below the Buy Signal line stopping at breakeven and ultimately dropping back below 3800.

Too much too quickly or a 'rescue operation'.

A Cover Signal

Steve Rushton January 28, 2021No Comments

S&P500 daily update

Kalevala

Market gaps down, well below the Buy / Cover Signal line and quickly heads lower triggering a Sell Signal at 3781.

The first bounce off 3768 stops the Sell Signal at breakeven and sees the open price of 3813 before taking another look at the morning low triggering another Sell Signal at 3781.

The morning low holds and stops the Sell Signal at breakeven again for a bounce to 3800 before heading lower again triggering another Sell Signal at 3781 and seeing 3733 before bouncing a little into the close.

Sell Signal active.

Of note is an ultra low number in the Arms Index, reinforcing the Arms Warning on 11-12 January.

Steve Rushton January 28, 2021No Comments

S&P500 intraday update S&P500 signal

S/T Sell Signal at 3781

A huge gap down below the Buy / Cover Signal line, no bounce and quickly triggering a Sell Signal at 3781.

A bounce off 3768 stops the Sell Signal at breakeven and the market heads back to the open price of 3813 before taking another look at the morning low triggering another Sell Signal.

Sell Signal active but would recommend hedging against a recovery to lock in at least some of today's gains.

…

Steve Rushton January 27, 2021No Comments

S&P500 daily update

Plenary

A gap up into new all time highs is met with profit-taking and consolidation at 3850.

Buy Signal continues.

Steve Rushton January 27, 2021No Comments

S&P500 daily update

Karlowitz

The market takes a look at the all time high and tumbles, reaching 3800 before strong and persistent buying for the remainder of the day. A brief Cover Signal below 3821.

Buy Signal continues.

Steve Rushton January 26, 2021No Comments

S&P500 daily update

Burns

Sideways just below the all time high.

Buy Signal continues.

Steve Rushton January 25, 2021No Comments

S&P500 daily update

Ridaniya

Market takes a pause at the high.

Buy Signal continues.

Steve Rushton January 22, 2021No Comments

“Simplicity is the ultimate sophistication.”
Leonardo da Vinci

“Imagination is more important than knowledge”
Albert Einstein

“All of our days are numbered. We can not afford to be idle. To act on a bad idea is better than to not act at all because the worth of the idea never becomes apparent until you do it. Sometimes this idea can be the smallest thing in the world; a little flame that you hunch over and cup with your hand and pray will not be extinguished by all the storm that howls about it. If you can hold on to that flame, great things can be constructed around it; things that are massive and powerful and world changing. All held up by the tiniest of ideas.”
Nick Cave, 20,000 days on Earth

2026 Positions

(All numbers refer to SPX)

S/T SELL Signal at 6756 on 11 Mar

S/T BUY Signal above 6826 on 10 Mar

COVER Short Signal above 6792 on 10 Mar

S/T SELL Signal at 6765 on 10 Mar

COVER Short Signal above 6772 on 09 Mar

S/T SELL Signal below 6810 on 06 Mar

COVER Short Signal above 6822 on 05 Mar

S/T SELL Signal below 6822 on 05 Mar

COVER Signal below 6849 on 05 Mar

S/T BUY Signal at 6882 on 04 Mar

COVER Short Signal above 6849 on 04 Mar

S/T SELL Signal below 6845 on 03 Mar

COVER Short Signal above 6877 on 02 Mar

S/T SELL Signal below 6850 on 02 Mar

COVER Short Signal above 6857 on 27 Feb

S/T SELL Signal at 6857 on 27 Feb

COVER Signal below 6884 at 6857 on 27 Feb

S/T BUY Signal at 6884 on 23 Feb

COVER Short Signal at 6850 on 23 Feb

S/T SELL Signal at 6837 on 23 Feb

COVER Signal at 6864 on 23 Feb

S/T BUY Signal at 6883 on 18 Feb

COVER Short Signal at 6834 on 17 Feb

S/T SELL Signal at 6888 on 12 Feb

COVER Signal at 6915 on 12 Feb

S/T BUY Signal at 6899 on 06 Feb

COVER Short Signal at 6938 on 06 Feb

S/T SELL Signal at 6901 on 04 Feb

COVER Short Signal at 6915 on 03 Feb

S/T SELL Signal at 6915 on 03 Feb

COVER Signal at 6942 on 03 Feb

S/T BUY Signal at 6968 on 02 Feb

COVER Short Signal at 6938 on 30 Jan

S/T SELL Signal at 6910 on 30 Jan

COVER Signal at 6940 on 30 Jan

S/T BUY Signal at 6934 on 29 Jan

S/T SELL Signal at 6907 on 29 Jan

COVER Signal at 6934 on 29 Jan

S/T BUY Signal above 6905 at 6923 on 22 Jan

COVER Signal at 6849 on 21 Jan

S/T SELL Signal below 6894 at 6843 on 20 Jan

COVER Signal below 6925 at 6843 on 20 Jan

S/T BUY Signal at 6961 on 15 Jan

COVER Signal below 6934 at 6925 on 14 Jan

S/T BUY Signal above 6890 at 6900 on 05 Jan

COVER Short Signal at 6864 on 02 Jan

S/T SELL Signal at 6837 on 02 Jan

Mission

It has been my Mission to create a simple but effective method for investing in the stock market, so that I would always know what to do regardless of the circumstances.

The result is a rigorous system which allows the market to tell you what to do, when to Buy, when to Hold, when to Cover, and when to Sell, and it removes the need for you to have any opinion whatsoever.

And so, I present to you the diary of my personal trading system, and a record of the signals that it is producing. You are welcome to follow me along but please understand that the information posted here is for entertainment purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.

Please sign up for my occasional FREE REPORTS and if you would like to find out more and receive my email alerts and more detailed observations, please SIGN UP HERE

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“If you're going to try, go all the way. Otherwise, don't even start. This could mean losing girlfriends, wives, relatives and maybe even your mind. It could mean not eating for three or four days. It could mean freezing on a park bench. It could mean jail. It could mean derision. It could mean mockery--isolation. Isolation is the gift. All the others are a test of your endurance, of how much you really want to do it. And, you'll do it, despite rejection and the worst odds. And it will be better than anything else you can imagine. If you're going to try, go all the way. There is no other feeling like that. You will be alone with the gods, and the nights will flame with fire. You will ride life straight to perfect laughter. It's the only good fight there is.”
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The mind is the spirit’s tear.
The mind is our prior and subsequent ghost.
The mind is the Bullion Express and the blood on the tracks.
The mind is a stone door.
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The mind is neither either nor or.
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