Ratios to Reason
The Buywrite Index has been crushing Buy ‘N’ Hold strategies for months.
Will the BXM:SPX ratio find resistance @ the 10sma?
Gold miners haven’t lost much ground to gold, which I interpret as a bullish signal.
Long LSC and short commodities is one of the best strategies I can see. Up almost 20% since this mention on Sunday.
If I could short JNK I’d give this pair a shot too. Treasuries are still holding strong, but boy does it feel bubbly.
Just because Treasuries are going vertical, doesn’t mean they won’t go to the moon. Long the 20 year and short the shiny yellow stuff is still paying off, and could continue to do so for months.
Defense wins the game, and over trading will kill the most skilled speculator. I’m watching with amusement and trading vicariously through new found Twitter friends. Good luck out there, but I suspect Brian Shannon has the right idea.