Secret
The"secret"supposedly comes from the US where you are supposed to buy the S&P 500 at the close of the third last trading day of the month an sell at the close of the fifth trading day of the next month.
The idea behind it is that most fund managers performance is evaluated on a monthly basis and therefore they try to boost their returns at the end of the month.Never tried it myself.
The"secret"supposedly comes from the US where you are supposed to buy the S&P 500 at the close of the third last trading day of the month an sell at the close of the fifth trading day of the next month.
The idea behind it is that most fund managers performance is evaluated on a monthly basis and therefore they try to boost their returns at the end of the month.Never tried it myself.
good post but how do you know when to trade more contracts and when to trade less. We never know the outcome of a trade as it is placed do we.
trading 1 contaract i cant see how you can make money. i agree.
are you talking about scaling in to the position.
trading 1 contaract i cant see how you can make money. i agree.
are you talking about scaling in to the position.
Thirteen said:
As I said Thirteen I've never tried it myself so I dont know how you would trade them.I have noticed that sometimes you do get a sharp rise in S&P towards the end of the month,and I also read somewhere that you get 40% more return trading at this particular time of the month than at any other time!Thats over the year btw.Perhaps some one would like to check it out,it's not really my scene.
"The"secret"supposedly comes from the US where you are supposed to buy the S&P 500 at the close of the third last trading day of the month an sell at the close of the fifth trading day of the next month.
The idea behind it is that most fund managers performance is evaluated on a monthly basis and therefore they try to boost their returns at the end of the month.Never tried it myself."
This was backtested over eons and showed up random for what it is worth.
As the smart one's have said there are no secrets and for the rocket scientists who don't believe that ,by all means keep looking while the rest of us load up at the bank doing what we do know works.
Cheers
The idea behind it is that most fund managers performance is evaluated on a monthly basis and therefore they try to boost their returns at the end of the month.Never tried it myself."
This was backtested over eons and showed up random for what it is worth.
As the smart one's have said there are no secrets and for the rocket scientists who don't believe that ,by all means keep looking while the rest of us load up at the bank doing what we do know works.
Cheers
THANK YOU MULLY , SIR ! YOUR WISDOM IS GREATLY APPRECIATED, AND RESPECTED.CHUMP has suggested that the secret comes from the US, THE QUESTION IS CAN IT BE ADAPTED TO THE UK MARKETS? I have done a check on yahoo historical prices of the ftse index and it looks very promising for the long term. check it out. The profit is there but how do we trade it?
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JohnK,
Apology gratefully accepted,and my apologies if my reply reads more terse than it was meant...too easy to misunderstand each other on forums which is why we all need to be laid back about it.
Adalat, I did not suggest 'a secret' came from the US at all, and I have stated that as far I know a back test showed it to be random.
Cheers
Apology gratefully accepted,and my apologies if my reply reads more terse than it was meant...too easy to misunderstand each other on forums which is why we all need to be laid back about it.
Adalat, I did not suggest 'a secret' came from the US at all, and I have stated that as far I know a back test showed it to be random.
Cheers
adalat said:
adalat,it was me who said that the"secret" came from the US,not Chump.Please be very wary when some one suggests that such and such works.At first glance it looks promising when you look at charts but trading in the markets never turns out exactly how you think they will,especially when you deal with a big thing like the S&P 500,before you know it you can end up in the quicksand with no way out!
Have you ever heard of the Brazilian option strategy?You go short the S&P 500 and you go long a Brazilian air ticket.If you right you make a bomb if your wrong you get on the first flight to Brazil!!
