John Frost is keeping a model portfolio to test the A.M.P.D. strategy. John talks about using prospective stops to defend against big losses, to lock in gains, and to try to stay in “profit land.” John also discusses the indicators he uses to measure market conditions and explains how he uses A.M.P.D. to decide when…
Don’t fight against market conditions! The “D” in the A.M.P.D. trading strategy stands for “Defense,” and as the markets move into correction territory, defense is key. In today’s podcast, Adam Sarhan talks about how A.M.P.D. traders use protective stops to avoid big drawdowns when the market contracts, and he stresses the wisdom of aligning yourself…
Sellers showed up yesterday (9/3/2024), and if we weren’t convinced the recent rally attempt had failed last week, we are today. The model portfolio stopped out of a few positions. Here’s a little mid-week update. (Charts courtesy of StockCharts.com). Market Conditions – Red Light We’ve been following the $QQQ as the leading index. It led…
Although $NVDA had a good earnings report, the stock price fell, and the $SMH and $QQQ fell along with it. The stock market is a forward-looking mechanism, and my read is that all the enthusiasm for the semiconductors (which are fueling the AI revolution) has already been priced in the market, and buyers are taking…