Tag Archives: Financial Cycles Model Portfolio

Trade Management Really Matters

I guess I should be more vocal about trade management.

At least that’s the word that I just got in an email from Richard, who’s been following our work in market astrology for the last few years.

“If I may give you an opinion on your emails (I’ve been receiving them for quite some time),” Richard said, “you never talk about strategies for position size management, entering with low risk, managing the trade (managing the risk), pyramiding (adding to a winning position), thoughts on anti-martingale strategy (reducing size when performing poorly) and discipline/patience (Staying out of the market when there is no trade) and also cutting losses while they are still small.

“You also don’t seem to recommend any books or anything. So that’s just my opinion.”

Why Trade Management Is Missing

Needless to say, I really appreciate Richard’s sharing his opinion.

And his point is well taken.

The truth is, I don’t mention trade management very often in the emails I send out to subscribers who have opted-in to get more information about our programs, products, and services.

And there’s a reason for that.

Most of those email subscribers have signed up to get notifications because they’re curious about financial astrology.

They want to know whether or not astro-trading really works.

Some of them are active in the markets.

But most of them are just thinking about trading. They’e never actually put money into the markets.

Or they’re just kicking the tires of astro-trading because they haven’t really decided yet if they’re interested or not.

So sending them emails with an in-depth focus on trade management doesn’t really help them very much.

So Where’s The Trade Management Information?

It’s a different story, however, for our members, students, and customers.

Trade management is a key part of virtually everything that we teach about astro-trading.

It’s been at the core of the trading strategy that we’ve used with the Financial Cycles  Model Portfolio.

Trade Management Creates This Track Record

It’s what’s responsible for our repeated success. Our Model Portfolio has consistently out-performed the Dow and the S&P 500 year after year, without any losing years for the past 14 years.

Trade management is also a big part of the done-with-you services we provide for our Gold-Plus Elite members at financialcyclesweekly.com.

In our weekly conference calls we discuss specific trade management strategies with our members. Our weekly newsletter provides detailed trade management guidelines for each of the trades active in the portfolio. It also includes suggested parameters for the new trades we are considering during the coming week of trading.

Individual Attention To Trade Management

The fact is, trade management is essential if you want to be successful in the markets.

I personally drive that point home again and again in the one-on-one coaching calls that I have with active traders. They want the extra edge that the astro-trading advantage offers.

It’s a standard part of each group mentoring call that I facilitate for our Project Regulus members, who make a long-term commitment to astro-trading mastery.

It will also be a big part of our discussions at the Heart of the Lion Astro-Trading Symposium in September.

What Can Effective Trade Management Do For You?

Managing your trades effectively is mainly about following a specific set of rules.

When you enter a trade, determine in advance how much you’re prepared to lose.

Set your initial stops accordingly.

Pay attention to position size. Don’t bite off more than you can chew.

Use the timing guidelines we provide for our Gold-Plus Elite members. They’re designed to identify high-probability, low-risk trading opportunities.

Once a trade is active, trail your stops periodically. This helps reduce your risk and then lock in your profits.

Heed the guidelines we give our Gold-Plus Elite members about the specific times to stay out of the markets. We can tell in advance when we want to avoid initiating active trades.

Most importantly, be sure to take losses quickly and cheerfully. A quick loss is typically a small loss, which means you’ve saved some of your trading capital. It’s money that you can use again to trade another day!

Finally, don’t forget that a vital part of trade management is managing yourself as a trader.

Remember to keep notes on yourself.

How are you feeling? Why are you taking the trades that you have chosen? What’s going through your mind when the market turns? What’s happening with the money in your horoscope?

The more clearly you understand yourself as a trader, the more effective your trade management will be.

More Trade Management Resources

Although we often mention trade management principles in our live webinars and other interactions, you’ll also find great resources in some of our courses and training programs for astro-traders.

“The Confidential Astro-Trading Formula for Financial Independence” and “Astro-Trading and Your Personal Money Flow” are two good examples.

Both courses are available in online video format. That means you can absorb the information at your own pace.

They can both provide a big boost to your trade management skills.

And from time to time, you can get them free.

We’re giving both of these top-level training programs away as bonuses with our new Gold-Plus Elite ROI Accelerator program.

This is a high-level membership. We only open the doors for new participants for brief periods every few weeks.

But when we do, you can get both courses – plus a bundle of other great bonuses – as a free gift for enrolling.

If you want to polish up your trade management skills with this bonus material, be sure to CLICK HERE FOR MORE INFORMATION.

 

Astro-Trading Silver at the Summer Solstice

When I was interviewed by Michael Yorba on his Traders Network radio show yesterday, we had a great chance to discuss this weekend’s Summer Solstice and it potential impact on the markets.

The Summer Solstice will arrive at 6:51 a.m. EDT on Saturday morning, June 21st.

This event is carrying some extra weight this year because of the recent activations of the 90-degree cardinal point at the beginning of Cancer by Venus and Mercury. These events have already shown their importance in moving the markets; the Summer Solstice is the Sun’s activation of that same 90-degree point in the cardinal axis. That’s just one of the reasons that W. D. Gann gave it so much attention.

To get an idea about the potential impact of the Summer Solstice on stock market trading, be sure to check out this chart for the historic effect on the S&P 500. As you can see, our back-testing of this index during this annual event gives us good reason to consider adding some short positions to the Financial Cycles Model Portfolio at this time.

But not all markets are likely to decline at the Summer Solstice. Take a look at what happened to Silver when this event took place last year:

Silver Summer Solstice 2013
Silver responded emphatically to the Summer Solstice in 2013, with the precious metal climbing by nearly 13% in the month of trading just after this key planetary event.

Needless to say, if you’re interested in trading precious metals, be sure to your homework thoroughly! Even though we got a big bounce in Silver at the Summer Solstice last year, and even though the Summer Solstice coming within three trading days of an isolated low in Silver about 76% of the time, this event only triggers a trend reversal to the upside about 29% of the time. So a rally in Silver (or in any other precious metals) is not a foregone conclusion following the Summer Solstice this year.

You’ll get more details about the Summer Solstice activation of the 90-degree cardinal point and its creation of a major zodiac pressure point for the markets in this recording of the complete 10-minute interview with Michael Yorba during yesterday’s show on the Traders Network:


click here to download or listen on your mobile device

By the way, during this interview I mentioned to Michael that I’m currently working on some new planetary cycle research to help fine-turn our understanding of the trading top that’s just ahead of us in the equities markets. This new report on “How To Time The Next Market Top” will be available in about a week; CLICK HERE if you’d like to get on the list for early-bird notification as soon as it’s available.

Mercury & Pluto at the Fed Announcement: Big Action for Stocks, the VIX, and the Dollar, Too!

In spite of the fact that one of our readers has dubbed the comments posted here on the Fed’s announcement today “the worst call out there”, it’s still interesting to see exactly what the markets actually did in the final hours of trading today– and to anticipate what the action in equities will look like tomorrow.

Throughout most of the trading day prior to the 2:00 p.m. announcement, stock prices were churning in a somewhat apprehensive market with a decidedly bearish bias.

But when the Fed announcement was released, it immediately became apparent that Mercury’s conjunction with the Fed Pluto was having exactly the kind of dramatic impact we had anticipated. The major market indices all rallied, breaking into positive territory and pushing to new heights by the end of the trading session.

Fed Indices Response
The S&P 500, the Dow Jones Industrial Average, and the NASDAQ Composite all rose after the Federal Reserve’s Open Market Committee made its announcement on June 18, 2014.

The S&P not only rallied, it also managed to hit yet another all-time record high by the time the closing bell on Wall Street rang. Note as well that both Gold and the Euro showed significant strength for the day.

It was also worth watching the VIX during the trading session. This measure of market volatility took a sharp plunge right after the Fed’s announcement, confirming the old “buy the rumor, sell the fact” adage– once the facts were known about the Fed’s intentions, a lot of the uncertainty that had roiled the market action earlier in the day began to fade away.

Fed Announcement VIX Response
The VIX reaction to the Fed’s announcement was quite dramatic.

In looking at the VIX chart, it’s worth observing that the index had already risen to the higher levels we had forecast last week as a potential response to Mercury’s retrograde passage over the cardinal axis. We’re still looking for more action in this Fear Index during the coming weeks, with a return to higher levels of volatility as we approach the July 4 Independence Day holiday.

This dramatic action in the VIX was further confirmation of the power of the Mercury/Pluto combination that made the timing for this event so noteworthy.

But even though the Mercury/Pluto action bore out the forecast, I had also looked at the Mars transit to the Fed chart and had assumed that the market’s reaction to the announcement would be “less than enthusiastic,” based largely on the activation of the Moon/Saturn midpoint in the Fed horoscope.

Things didn’t turn out that way.

We certainly didn’t see a negative reaction in equities during the remainder of the trading day. But Mars moves more slowly than Mercury, so the impact of its transit is likely to carry on a little longer. That’s one of the reasons why we’re still anticipating a pull-back in stock prices before the end of the week– and why our Gold-Plus Elite members at FinancialCyclesWeekly.com are planning to add to the short positions in our Model Portfolio before the market closes on Friday..

Remember, too, that the influence of the Federal Reserve goes far beyond just the price of stocks. The Fed’s announcements have a big impact on currencies, of course, which is why it was particularly interesting to see what happened to the dollar this afternoon:

Dollar Reacts to Fed
The U.S. Dollar Index had been trending lower before the Fed’s announcement on Wednesday afternoon, but as soon as the official word was released the Greenback started going through wild swings. Volatility remained high for the rest of the day, with the dollar pushing sharply lower.

 

A Week of Big Profits for Our Gold-Plus Elite Members

Financial astrology never fails to demonstrate the extraordinary and extremely beautiful ways that actions in the markets connect with the rhythms of planetary harmonics.

But the practical application of financial astrology in astro-trading is not just about the esthetics of cosmic harmonies and the music of the spheres– it’s also a pragmatic system for increasing profitability in our trading activities so that we can make money more successfully.

I was reminded of that fact yesterday when I was reviewing the trading results that our Gold-Plus Elite members at FinancialCyclesWeekly.com got last week with our Model Portfolio of equities trades.

It was a record-breaking week that brought some extremely positie results. Our Gold-Plus Elite members closed five trades, with three winners and two losers. While that may not seem particularly impressive, a closer look reveals the true power of the astro-trading advantage.

Here’s what happened:

On Tuesday, August 2, they sold 200 shares of United Therapeutics Corporation (UTHR) at 74.60, taking a profit of $570.00 on the trade. They had bought UTHR on July 29 for 71.75 a share, so this was a 3.97% gain in just 6 trading days.

Their remaining four trades last week all took place on Wednesday, August 7.

They sold 600 shares of Genworth Financial Inc. (GNW) at 12.60, taking a loss of $360.00 (a 4.55% loss in 7 trading days).

They sold 200 shares of Honeywell International Inc. (HON) at 83.50, taking a profit of $112.00 (a 0.68% gain in 12 trading days).

They sold 200 shares of Nu Skin Enterprises Inc. (NUS) at 84.50, taking a profit of $4,460.00. They had paid 62.20 a share for NUS on July 5, so this was an impressive 35.85% gain in 23 trading days.

Finally on Wednesday they also sold 100 shares of  Toyota Motor Corporation ADR (TM) at 127.55. They had bought this stock the day before, but the direction of the trade wasn’t favorable so they took a quick loss of $165.00 (a 1.28% loss in 1 trading day).

With a total of $5,142.00 in profits versus just $525.00 in losses, that was a net profit of $4,617.00 for the week as a whole. That’s pretty exciting, especially when you consider the fact that our Gold-Plus Elite members just spend 28 minutes each week in a planning session on our regular conference calls. That’s when they get their members-only information on exactly what to trade, when to trade it, and how to maximize the profits of the trades they take.

If you’re personally one of our Gold-Plus Elite members, you deserve a big round of applause for an outstanding performance!

If you’re NOT a Gold-Plus Elite member yet, why not?

You can join this money-making program on a trial basis for just $97. Go to http://bit.ly/FCWgpe for details.

Market Tops & Tipping Points

With a variety of astrological factors working in tandem this week to drive stock prices higher through midweek, I was expecting to see a sell-off in equities get underway yesterday.

That didn’t happen.

Instead of pulling back, stock prices drove higher, with the S&P 5000 closing above the psychologically-important 1700 mark for the first time ever. The mainstream media is crowing this morning about the record rally that’s underway, instead of issuing warnings about a market correction waiting in the wings.

So we’ll see what happens today as trading gets underway.

One of the challenges in fine-tuning our market timing with astrology is that the astrological patterns that help drive the markets don’t always coincide with the exact hours that the markets themselves are open. The big Jupiter/Kronos alignment this week, for example, came hours after the closing bell in New York, rather than conveniently falling within the confines of the formal trading session.

When we’re doing our back-testing, of course, we’re primarily using daily historical data, so the calculations that go into our market forecasts don’t always match the exact dates of the upcoming market action. The net result is that we could be a day late or a day early in seeing the market phenomena suggested by the astrological factors at work.

So I’m looking for lower prices in equities today, since a pull-back wasn’t in evidence yesterday. Whether it’s attributed to profit-taking or genuine corrective impulses, a lower close in the S&P would be consistent with what we’ve seen astrologically.

But of course, the markets will always do whatever the markets choose to do, regardless of the precision of our back-testing, the carefulness of our forecasts, or the intensity of our hopes and wishes.

Remember that the basic rule in profitable astro-trading is to pay more attention to making money in the markets than to being 100% right in forecasting. That’s why we’ve currently got both long and short positions in the the Financial Cycles Model Portfolio– even if the market behavior doesn’t match our forecast, we’re confident that our trading strategies will continue to give us profitable results!