etfmsolutions: New VXX signal.....cash....10.24.18

Wednesday, October 24, 2018

New VXX signal.....cash....10.24.18

Another handsome gain for our long VXX position today as SPY dropped 850 points into the close as the buy-the-dip crowd stayed on the sidelines. For Thursday the VIXEN signal is in cash and we closed our long VXX today at 15 minutes per close...abiding with our standard buy/sell time frame.
Point in fact ...the latest VXX run via the VIXEN has had a certain element of luck to help it out.
And, yesterday's decision to bail when the SPY was at -600 and then buy back in the late after market was a strictly discretionary move off the rules based VIXEN setup, but it netted us an additional 8% above the posted metrics and sometimes you just need to execute those risk off trades when your brain screams..."Time to buy or sell".
Keep in mind that our prime concern is risk management and the success of the VIXEN model becomes most apparent when we examine the max total drawdown of VIXEN versus an unstopped buy and hold VXX position.....7.5 versus 39%,

Commentary and Updates

Mosaic Solutions commentary is typically published daily as time permits and market action warrants.
Posts feature Mosaic model updates including delta neutral stops, VIXEN directional trades and PONZO forecasts.

NOTE: Posted risk exposure indicators, signals and metrics apply to Mosaic models only. They are not directly correlated with price movement in the major market indices and can not be used to forecast directional changes in those instruments.
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TRENDX is a proprietary Mosaic market signal that blends volume, RSI, momentum and rate of change.

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