iBankCoin

Update on Exodus Quant Strategy for February and What March Brings

I have a stifling headache, probably caused by stress. My new dog darted out and ran into the woods earlier, forcing me out of a slumber and into the thickets to fetch a dog. Along my journey, I spotted a dead dear entangled upright, hanging upside down, in a ceremonious setting. There are many masons in this area and it seems they’re doing some carcosa type shit in the woods.

After an hour, I found the dog — covered in mud and thorns — and then I gave her a hot bath and a cold shoulder for a solid 30 minutes.

Dinner consisted of Japanese takeout and perhaps the sodium crushed my metaphysical being — because I now feel like shit.

At any rate, Exodus Quant shed 4% for the month of March, outpacing the SPY by 100bps. There is no honor in losing money. However, I lost it at a slower pace than the market, proving the strategy to be effective.

We were mega cap in February, long stocks like ACN, MSFT, XOM and MA. For February, several defensive positions will be triggered and we might get an Exodus Oversold signal, which will automatically deploy my permanent 20% cash into the SPY for a 5 day trade. Also, the allocation will be of a much smaller capped varietal.

There are a slew of oversold stocks and ETFs in the system tonight, including IWM. This has been a stress point that has resulted in gains for longs, so look for the market to pivot to the upside soon and with vigor. Should that not occur, we might be in for a different tape, a character shift, which means everything needs to be reviewed.

My tactical account has cash, a shitbrick of oil stocks getting mauled, and two hedges: SQQQ, DRV.

Off to take a few aspirins and consume some teevee.

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14 comments

  1. moneyteam

    Whatchya watchin?

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  2. numbersgame

    IWM was looking like shit all day, but is sitting on pretty stout support. QQQ looks lik3 they want to see waht it’s like right under 165. I don’t think they’ll test the lows without a catalyst, but maybe check out the life under 159.

    Will depend on the FAANNGs (NVIDIA added), of course. If the some leaders (AMZN, NFLX) make new highs, does the index follow? Or if the index double tops, does that take precedence?

    If you look at the Dotcom boom, the Nasdaq peaked on 3/10/2000, then double topped (lower high and lower close) 3/24. The Money Flow leaders and their peaks:
    12/27/99 MSFT
    01/03/00 QCOM
    03/22/00 INTC
    03/27/00 ORCL
    03/27/00 CSCO

    So MI COQ continued rising, but the market turned over and went to sleep instead.

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    • numbersgame

      The more things change, the more they stay the same:

      “The United States is now experiencing the longest economic expansion in its history. This expansion, which began in April 1991, not only has reached record length, but also has done so in a far stronger manner than had been expected. Most notably, inflation has been subdued, notwithstanding the most favorable labor markets that the United States has experienced in a generation…consumer spending grew more than 5 percent in 1999, the fastest rate since the mid-1980s…Annual real GDP growth over the past 4 years is higher than it has been in decades….those supporting the idea of a “new economy” tell us that what we are witnessing in the U.S. economy is the fruition of some longer term trends in information technology, deregulation, globalization, and labor markets…We face today probably the best macroeconomic environment in decades”

      William J. McDonough, President and CEO, Federal Reserve Bank of NY
      March 30, 2000
      https://www.newyorkfed.org/newsevents/speeches/2000/mcdon000330

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  3. masteroneass

    Tzone. best strategy start contemplating nasdaq inverse triple leveraged and crypto shorts. Its cooked bigtime. No use getting into the obvious, it was obvious to buy it 10 years ago. today not so much. these businesses can only grow so much before they end up cannabizing themselves. For the first time in like 14 years were hearing apple is not exceeding which will have a major ripple effect.

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  4. fryguy15

    -4. Ouch. Sorry to hear

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  5. masteroneass

    And xiv is just the tip of the iceberg in inverse no lose investment bet etf world. These things are going to trash the entire market once the algos go ballistic and cant compute. Well have a 1987 type thing. Ask jones he has been making computer print outs matching up charts with dot matrix printers.

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  6. numbersgame

    Glad you found your dog. They’re like children and you always fear the worst…

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  7. slowmo

    ” I spotted a dead dear entangled upright, hanging upside down, in a ceremonious setting” Sounds dangerous to be a wife in Princeton…….

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  8. acehood

    That Carcosa shit is fucked up! I’ve had that same experience, looking for your lost dog in the wilderness.

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  9. ironbird

    Teevee is dead. Over. Never to be born again. Just abortion after abortion after abortion. But. Oakland is beautiful as Babylon. This time of year. The dykes do one hell of a job.

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  10. Raul3

    i lovea to tv

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