ChartingTrends

[ChartingTrends @ChartingTrends]

Micheal Covel’s monologues are raw, real and honest.

#TrendFollowing

[ChartingTrends @ChartingTrends]

@NSDtrendtrader My laptop was annihilated by a power surge, but at least I have my books 🤓

[ChartingTrends @ChartingTrends]

Mirissa Beach, Sri Lanka:

[ChartingTrends @ChartingTrends]

@opayk_projector Nice!

[ChartingTrends @ChartingTrends]

@pipes_paul Thanks Paul!

[ChartingTrends @ChartingTrends]

@CoolSA Thank you.

[ChartingTrends @ChartingTrends]

Each and every Sunday, I write a 10 page newsletter that covers practical trend following strategies.

This week's issue has just been sent out.

https://t.co/oXoou5Ajm2

[ChartingTrends @ChartingTrends]

@samdruss To be clear, I don't think that $PUTW is necessarily good, but simply interesting.

Here's an alternative way to look at it:

https://t.co/vijrIxl2ve

[ChartingTrends @ChartingTrends]

$PUTW is an ETF that writes put options on the S&P 500 for income.

Interestingly, if you shorted it and then bought $SPY, you would essentially be long the market with a protective put.

This combination results in less volatility with similar returns.

[ChartingTrends @ChartingTrends]

An interesting ETF that has been doing well is $PUTW, which writes deep out-of-the-money puts on the S&P 500.

With this strategy, you face these risks and rewards:

-Market goes up 💰✅
-Market goes sideways 💰✅
-Market goes down moderately 💰✅
-Market goes down a lot ☠️❌☠️

[ChartingTrends @ChartingTrends]

@Subtle_Range Sri Lanka.

[ChartingTrends @ChartingTrends]

Just another day in the office..

[ChartingTrends @ChartingTrends]

@NSDtrendtrader Hi Neil. I've been travelling since August.

[ChartingTrends @ChartingTrends]

The Bitcoin Investment Trust - $GBTC - is now down over the past 4 years, even though #Bitcoin is up 119% during that same time.

With its management fee of 2%, the trust rakes in about $541 million every year, so someone's making money, even if its investors aren't.

[ChartingTrends @ChartingTrends]

@irishspeculator Agree, it might be a good time to re-read that book.

[ChartingTrends @ChartingTrends]

I sincerely believe that future generations will look back at 2021 and view it as one of the greatest periods of mass delusion in human history.

[ChartingTrends @ChartingTrends]

@CapitalEdos Exactly, it only prevented 95% of the drawdown so, obviously, it doesn't work.

[ChartingTrends @ChartingTrends]

I use a 20 and 50 day moving average crossover to define the short-term trend.

When looking at $ARKK, I can say that it had a good run, but it's over now.

[ChartingTrends @ChartingTrends]

Back in March, I pointed out that the trend for $ARKK had turned down, which many traders at the time couldn't accept.

Fast-forward to today, and $ARKK is in a 45% drawdown, yet I still see many growth stock gurus pretending that the market is fine.

[ChartingTrends @ChartingTrends]

I use a 20 and 50 day moving average crossover to define the short-term trend.

When looking at $ARKK, I can say that it had a good run, but it's over now.

[ChartingTrends @ChartingTrends]

Back in March, I pointed out that the trend for $ARKK had turned down, which many traders at the time couldn't accept.

Fast-forward to today, and $ARKK is in a 45% drawdown, yet I still see many growth stock gurus pretending that the market is fine.

[ChartingTrends @ChartingTrends]

The S&P 500 is a trend following trading system.

It holds on to winners (and adds to them), while losers are reduced in size and eventually removed.

The average retail trader will do the opposite, add to losers and cut winners.

That is why most traders fail to beat it.

[ChartingTrends @ChartingTrends]

If you...

-Are a long-only pure growth stock trader
-Believe in taking concentrated "high conviction bets"
-Only sell "when the fundamentals change"

Then you...

-Got completely wrecked this year

[ChartingTrends @ChartingTrends]

Last year at this time, it was nothing but screenshots of triple digit gains.

Now it's complete silence from all the growth stock gurus out there.

I wonder why that is? 🤔

[ChartingTrends @ChartingTrends]

One way to spot a charlatan is they have a track record that looks something like this:

2008: ???
2009: ???
2010: ???
2011: ???
2012: ???
2013: ???
2014: ???
2015: ???
2016: ???
2017: ???
2018: ???
2019: ???
2020: >>>>>>>>200%<<<<<<<<
2021: ???