Stocks: 11th July 2016

Disclaimer - Read this first!

This is not a signal service. While endeavoring to post signals before time occasionally I will only be able to post signals a day or two late

I am not a financial adviser. These are paper trades. I am not suggesting you follow these signals. If you take any action based on my blog you do so at your own risk.

Weekly Trend Trading (WETT) System

System Status: ON (As at 30 May 2016) Take new positions. Existing stops stay as they were - new stops are approx 60% of buy price.

Opening Stock Trades

Nil

Closing Stock Trades

Nil

Weekly Momentum System

System Status: ON - as at 30 May - Portfolio re-balanced monthly, positions checked weekly. Stop Loss either a weekly close below the 100 day SMA on the WEEKLY chart, or, a spike above 7% in the 2 day volatility on the daily chart.

Opening Stock Trades

Nil

Closing Stock Trades

Sell PLS on Mondays open (Volatility Stop)

Sold OML las Monday as part of re-balancing

Here is the portfolio after last Mondays re-balancing. I have shown position adjustments as extra trades which means I have to add back closing commission because, naturally, I would only use one trade to close the lot.

It's early days with this portfolio but after around six weeks it is up 11% while the index is down 2.8%. This is pretty astonishing performance and I wouldn't expect to bang out 100% P.A. returns year after year but the basic principal of holding a tight group of out-performing stocks should see this going well over the long run with around 10% - 20% p.a. annualized returns and draw-downs limited to 25% - 30% (this is a guesstimate based on Clenow's book)

Chart(s) of the day

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Further Information

Disclosure - Personal Interests: ALU, FBU, MQA, SDF, SXL

All Stock charts courtesy of www.IncredibleCharts.com

** WETT Trading style is Similar to the methodology described in 'The Weekend Trend Trader' by Nick Radge, Buy his book if you wish to discover how I am generating these signals (note: I do not receive any benefit from promoting Nick Radge, Dave Landry, Andreas F Clenow, Incredible Charts or anything else.)