The JAWS pattern on the SPY/SH Vixen chart below was a dramatic reflection of the day's bearish action which saw the DOW plummet 238 points and the other indices display proportional weakness.
We're now solidly in oversold territory but the close was weak and its not clear what the impetus might be to pull the markets out of the current funk.
While M3 has been sitting quietly in cash throughout the slide the new SPY-X model has been booking some nice gains and we continue to refine the capabilities of the platform to retain our gains and not dibble them away to the whip-saw drawdowns. The stated cash stops have fired on several occasions and, combined with the re-entry stops, have delivered (or saved) a 4.5% short term gain.
