Yesterday was a rough day for the model portfolio. It was also a rough day for the broader market, with the S&P500 closing beneath both the 50 and 200 day moving average. I was hoping the bulls would have defended the averages more vigorously, but I was not holding my breath.
Anyway, the portfolio is still full, as no stocks were stopped out yesterday, and no sell signals were given for Tuesday morning. I will post the spreadsheet with the latest prices after Tuesday’s close.
There were a few Power Dip signals for Tuesday, but the system will not take them as it has no available cash. These signals are [[WWW]], [[BID]], [[ARAY]], [[PLXS]], [[TEN]]
Hi Wood,
You mentioned that none of the stocks were stopped out. However, PII actually hit my 10% stop yesterday. I think the discrepancy is because the fastest I could get my entry order in on the 12th was at 9:34, whereas yours was probably at the open.
Why have you chosen to only post the Power Dip signals right at 9:30 instead of a few minutes before? Is it because it’s a proprietary system so you want to leave yourself an advantage? If so I understand – just curious.
Thanks!
Michael
Michael, all my stops are offset from their actual entry price.
Example: XYZ stock close at 10.00 and I have a signal to buy it on the next open. I figure my 10% stop (1.00) and set my account to buy it on the open, and then simultaneously offset my stop amount (1.00) from the entry.
Lets say XYZ gaps down in the a.m. to 9.75, and that is where my entry is filled. Then my stop is set to 8.75, not to 9.00.
Hope that explanation helps. I believe that may be what happened with PII.
As for the post time, I can bump it up a few minutes if it would help you get your orders in.
Ah, I see. I’ve just been setting my stops to .9*EntryPrice, so there’s the discrepancy. If your backtested results are based on your method then I’ll certainly switch to that. So, to be clear, the stop would be EntryPrice-.1*PreviousDayClose, right?
As for the post time, yes, it would be a great help if you could bump it up a few minutes if it’s not much trouble.
Thanks very much!