August 17, 2017

Another Trade Down – ETF Extremes Options Strategy Up Almost 20% YTD

Check out the latest trade in the ETF Extremes options strategy at the following link: http://etfextremes.collective2.com

The ETF Extremes Strategy is now up 19.5% YTD on just four trades. The strategy as not had a losing trade all year. Of course, this is not expected to continue as losses will occur. Losing is just part of the game, it is how you lose (appropriate risk management) that is important. By remaining diligent in my risk management of the strategy the ETF Extremes should continue its winning ways. The performance over the past three years speaks for itself.

The latest trade made 7.1% in just over 7 trading days. As you can see from the statistics on the Collective2 site the annual (compounded) rate of return is now up over 224% and the Sharpe ratio remains over 1.

Overbought-Oversold levels for February 25, 2010

ETF Extremes Options Trading Strategy

* S&P 500 (SPY) – 59.5 (neutral)
* Dow Jones (DIA) – 67.8 (neutral)
* Russell 2000 (IWM) – 55.7 (neutral)
* NASDAQ 100 (QQQQ) – 59.5 (neutral)

Sector ETF Extremes Options Strategy

* Biotech (IBB) – 59.2 (neutral)
* Consumer Discretionary (XLY) – 78.1 (overbought)
* Health Care (XLV) – 56.3 (neutral)
* Financial (XLF) – 63.8 (neutral)
* Energy (XLE) – 46.1 (neutral)
* Industrial (XLI) – 61.9 (neutral)
* Materials (XLB) – 44.0 (neutral)
* Real Estate (IYR) – 76.7 (overbought)
* Retail (RTH) – 87.9 (very overbought)
* Utilities (XLU) – 49.6 (neutral)

Ultra Extremes

* Ultra Long (SSO) – 59.6 (neutral)
* Ultra Short (SDS) – 38.7 (neutral)