TQQQ
TQQQ Exhibits consistently logarithmic recovery slopeFor some fundamental reason, if you put TQQQ on a logarithmic scale, its recent recovery periods become very linear with nearly the exact same slopes. To some extent, it seems like a decent barometer to identify under and overvaluations.
TQQQ's Decade-Long Consistent Logarithmic Growth PatternFor some fundamental reason, if you put TQQQ on a logarithmic scale, its long-term growth becomes very linear. To some extent, it seems like a decent barometer to identify under and overvaluations.
Top Equities and Funds (YTD % Change)These are the top yielding securities in the equities market: NASDAQ:AAPL SOXL TSLA AMEX:FNGU NASDAQ:TQQQ NASDAQ:AMZN and AMEX:LABU . All of the exchange-traded funds are 3x leveraged (make sure that you understand how these work) and have the potential to be volatile. Also, Tesla and Amazon may be in a bubble.
NDX to SPX ratio - tech wreck 2.0?Keep watch of this ratio-We're looking like 1999 based on this ratio. Tech to go hyper before tech wreck 2.0? The recipe is slightly different but it's starting to smell the same. Even if this plays out, we should see the NASDAQ cool off & consolidate for a bit..perhaps we'll see some weakness going to the Fall prior to election with increased volatility in the markets. I'm looking for some type of cycle trough in the markets in the next 2-3 months. While I seriously doubt it's going to be a lower low (than March low), it's not off the table. Cycle lows occur very quickly whereas cycle peaks roll & roll. March is a great example of just how quickly cycle troughs can occur. We witnessed the fastest & deepest drop in market history this year which proved to be a fantastic buying opportunity. Let's see what the markets offers next. Another correction in markets might be met with even more life-support from the Fed.
NDX/TQQQ A buy at VXN below 38 or at 47Watch the VXN. Looks like a short-term long setup at VXN below 38 or at the 47 blip. TQQQ estimated low at 98 lowest before retracement and NDX at 10,000 lowest.
Recommend placing collar options on this trade.
Nasdaq100 daily- Little upside left, bearish RSI Nasdaq100 daily- Little upside left and nearing resistance, bearish RSI.
TQQQ 25-day Moving Average Strategy vs Buy and HoldMay 2018 to May 2020
25-day MA return = 45%+56%+17%+67% = 185%
Buy and Hold = 36%
This is 185% return is better than the 50-day MA return of 147% ()
However, you'll have to subtract maybe 20% from that 185% for false-positive loss sales where it just briefly crossed the line.
50-day MA TQQQ Stratagey vs Buy and HoldFrom May 2018 to May 2020, you would have seen a 147% return by selling TQQQ when crossing down over 50 day MA and buying TQQQ when crossing up over 50-day MA.
Buying and holding TQQQ over this time would have only returned 36%.
The TQQQ Trend is Your FriendIt seems that buying NASDAQ:TQQQ when crossing up through the 50-day moving average and selling when crossing down would have netted you the greatest returns over the last 3 years.
NAsdaq100 monthly Log chart: Up Channel Nasdaq100 monthly Log chart: Up Channel. Technical analysis doesn't have to be complicated.
Moral of the storey: Buy the dips (lower bounds of the channel) and stay long.
OPENING: TQQQ JULY 17TH 55 SHORT PUT... for a 2.73/contract credit.
Notes: Background implied isn't what it was a few short weeks ago, but it's still pretty high here at 89.6%. Looking to "wheel" this (i.e., short put, acquire, cover) if it breaks down; otherwise, perfectly happy to keep the premium. 5.22% ROC at max (if cash secured).
TQQQ Trading inside channelInitiated a short position here. Looking for 10% gain. Stop loss at 5%. 2-1 risk/reward ratio. Will be mainly using the pitchfork and as a visual guide, and using my macd signals for alerts. For the last 2 months, if you initiated short position at the upper band of the channel just after the (close long) alert signal, and closed short position at the first (open long) alert signal, then you would have 3 successful trades for about 10% profit each.
If for some reason, the price breaks out of this pitchfork channel, then the strategy is voided. Profitable alert signals rely on heavy volatility, that's why I'm covering triple-leveraged ETF.
TQQQ - Short Put 17 Jul 20 55Opened yesterday for a credit of $3.22 per contract. Cash Secured.
With mostly cash in my portfolio, I think it's a good time to use the wheel strategy:
1. If TQQQ ends up above 55 at time of expiration - collect premium
2. If put in-the-money: start long on TQQQ
2.a. sell covered call on TQQQ
