With the options market showing signs of fear (as is the VIX) and the low likelihood of a recovery today above 1814.75, I pulled the trigger at 1803 to reduce my equity position to 30% (actually 26.9 by the time I finished executing all my trades) with a 1:4 ratio of alpha to low vol/dividend stocks.
I was really hoping to catch a higher peak for this "final" selling but oh well. I would rate my trading "performance" a B+ -- sold 50% at 1825 and then another 20% or so at 1803. If the market tanks, then I'll give myself a higher grade :)
As I mentioned in my posts over the last few months, this weakness should persist for the next three months or so. Therefore, I'm going to sit back and wait for a buying opportunity.
Follow signals from the Prophet4Traders system to identify turning points in the U.S. stock market
The purpose of this site is to share results of a trading system that I use for identifying both long-term and short-term trading opportunities. I take the time to do this because of my passion for investing and helping others succeed. The system helped me avoid the "Crash of 2007/2008" and every major correction since then. The cornerstone of my trading system are analyses of market liquidity to gauge longer-term market sentiment and equity and index options (put/call ratios) to identify short-term entry and exits.
This site is for information purposes only. Past performance of the trading system is not a guarantee of its future success. Please consider consulting a qualified investment adviser before making investment decisions.