Highlighted in a pleasing green hue is the Big Bamboo selection for Monday. I have included some recent studies below, for review.
Big Bamboo, Analysis of Trade Drawdowns
Big Bamboo, Refining Stop Strategies
Big Bamboo: The Esoteric Art of ATR Stops
In light of recent studies, the Big Bamboo will continue to use a 4% stop. However, I have a new study completed which shows the equity curve using 8% stops with 2% risk per trade vs. the 4% stops with 1% risk. It is very interesting. I’ll have it published soon.
As I have some long exposure that I would like to hedge, I will be taking this trade tomorrow.
Wood,
I like this trade, I’m in.
Count me in too. Could have used this Friday about 2 p.m. Got caught a bit longer than I’d like to be, which I’m sure a lot of people feel.
Wood, any thoughts on playing this via front-month options, using a substitute ETF with better options liquidity (maybe EFA?)?
It’s expiration week, and I’m itching for some lotto tickets.
Woodshedder:
Any further thoughts on the breakout/bullish post following Thurs. action?
Flux, I’ve seen some backtesting that showed that it can be profitable. However, although the results were good, I would say they were inconclusive, due to how hard it is to backtest options. Also, with the recent volatility, spreads may be extraordinarily large.
In principle, it should work though!
Pinball, I’m working on a post to cover that topic.
Its early, but EFU may break the losing streak!