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Investment Strategies / Mechanical Investing
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Author: zeelotes   😊 😞
Number: of 3957 
Subject: Re: Zee's $BPNYA
Date: 05/04/2025 4:38 PM
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DB2 asked: Zee, what do you use for an exit signal?

This method is one of many that I've shared over the years on the MI board. Pretty much everything I shared were what I'd consider more blunt instruments for purposes such as this. There are way better tools / indicators for this purpose. For example, for the most recent volatility an indicator I created in the 90s and had coded in my software in the early 00s produced an exit signal on 2/19/2025. You would then enter either a short position or an inverse ETF. The enxit signal that followed arrived on 4/7/2025.

Using Semis and a 3x ETF combo this would be the the result of the trades:

* Enter SOXS on 2/19/2025 at $17.31 and exit on 4/7/2025 at $42.35 - a gain of 144.66%.
* Enter SOXL on 4/7/2025 at $9.15. The present closing price on Friday was $13.29. This is a return of 45.25%

For an exit signal using $BPNYA, I'd suggest a composite of indicators would be the best. There is absolutely no holy grail - in other words, an indicator that will perfectly identify every point of transition in all market types. This is why a combination of indicators ratchets up the potential that odds will be in your favor. Anyway, that is how I do it and it has worked well for me.
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