July 28, 2017

Another Gap Fade Success – Up 7.8% Since Inception Two Months Ago

The Gap Fade Strategy had another successful signal today. The QQQQ trade reaped a respectable 6.4% for the day. The strategy is now up 7.8% since its inception just a few months ago. I would have liked to take more off the table today, but this strategy shoots for singles and doubles with the occasional home run. We still have room in the strategy if you wish to join.

Three straight weeks of gains and now directly under strong overhead resistance at the 1425 level on the S&P.  Furthermore, the recent push higher has landed much of the back market in a short-term overbought state.  I think we could see a short-term decline going forward. The prior statement could foreshadow my intentions for early next week in the ETF Extremes strategy. If there is a signal it could be a nice one given the extreme overbought levels of the current market. The ETF Extremes strategy also has room left.

I will be back later this weekend with a more thorough post on the current technical and sentiment extremes that have entered the market. Stay tuned!

May 2, 2008 – Crowder’s Overbought/Oversold Readings

Major Benchmarks

  • Dow (DIA) – 84.4 (very overbought)
  • S&P (SPY) – 77.2 (overbought)
  • Russell 2000 (IWM) – 64.8 (neutral)
  • Nasdaq 100 (QQQQ) – 80.4 (very overbought)
  • Emerging Markets (EEM) – 71.7 (overbought)

Sectors

  • Biotech (IBB) – 64.9 (neutral)
  • Consumer Discretionary (XLY) – 72.1 (overbought)
  • Health Care (XLV) – 65.7 (neutral)
  • Financial (XLF) – 77.4 (overbought)
  • Energy (XLE) – 48.3 (neutral)
  • Industrial (XLI) – 72.2 (overbought)
  • Materials (XLB) – 42.5 (neutral)
  • Real Estate (IYR) – 61.0 (neutral)
  • Retail (RTH) – 60.7 (neutral)
  • Utilities (XLU) – 75.7 (overbought)

International

  • Brazil (EWZ) – 74.8 (overbought)
  • China (FXI) – 82.8 (very overbought)

Others of Interest

  • Clean Energy (PBW) – 44.0 (neutral)
  • Water (PHO) – 77.2 (overbought)
  • Agriculture (DBA) – 38.4 (neutral)
  • Commodity Index (DBC) – 47.3 (neutral)
  • Oil Services (OIH) – 48.3 (neutral)