On the overnight message I said, “if the broad market … is down [in the early going], then the selling could get rather intense in the afternoon.” Well, the broad market is down in the early going, but the magnitude of the decline is surprising, and it may be “stealing” from the intensity I expected for the rest of the session. Candidly, I’m somewhat hesitant to take too large a short position in the SPX considering the magnitude of the decline so far. So I will recommend a short position, but not to the extent that I originally had in mind: TOT Daily Traders are advised to go 100% short at SPX 1839 stop and an additional 100% short at SPX 1831 stop. If you go short, use a 1% buy stop on each position, calculated separately.
Misc. note 1: On Friday afternoon’s Turov on Overnight Possibilities*, I wrote, “ For extremely sophisticated professional investors, my recommendation for an overnight trade (today’s close through the next trading day’s opening) is: Sell short IWM [the ETF for the Russell 2000 Index].” I also wrote, “For extremely sophisticated professional investors, my recommendation for A ONE day trade (today’s close through the next trading day’s close) is: Sell short QQQ [the ETF for the Nasdaq 100 Index”. Each trade is currently working out well.
Misc. note 2: All Turov Investment Group Inc. managed accounts that permit Inverse (short) positions are currently invested in a Russell 2000 INVERSE Index fund.
* Turov on Overnight Possibilities is a separate service offered only to Turov on Timing subscribers. It is an email service sent to subscribers at about 3:40 to 3:50 Eastern time each afternoon. A one month trial subscription is available ONCE A YEAR only to TOT subscribers for $97, via www.Paypal.com to InvestmentAdvice@aol.com. Trial subscribers may then subscribe for the balance of 2016 at a price of ($997*x/365) with x being the remaining days in 2016.
Thanks for the opportunity to be of service, and I’ll update again prior to the close if we are short at that time; otherwise in about 16 hours.
Turov on Timing is Copyright © 2016 by Turov Investment Group Inc. All rights reserved. Turov on Timing is for personal use only. All caveats and advisories that appear in the monthly Turov on Timing apply equally to this email including the fact that past performance is not a guarantee of future performance. Re-publication and distribution is strictly prohibited. No part may be reproduced without the permission of the Turov Investment Group Inc. All recommendations are based on the Standard & Poor’s cash index (SPX) which cannot be directly traded and Turov Investment Group Inc. makes no recommendation or suggestion to readers as to how SPX-based recommendations should be traded but rather leaves that to the discretion of each individual reader. The “official” price of the opening and closing SPX is as reported at www.bigcharts.com and may not be consistent with futures or ETF prices. All stop recommendations are based on that “official” price. Any recommendation that is to take place at a specific time is basis the “opening” on a one minute bar chart beginning at that time and ending one minute later. All times mentioned are Eastern. Questions related to this service should be directed to InvestmentAdvice@aol.com.