STRATEGY Update | July 8, 2026

Trade Signals on July 8, 2026

Wednesday's trade was difficult with extremely wide-ranging reversals and what continues to be an "overly bouncy" market. The Nasdaq bounced 600 points off its overnight lows while interest rates and Crude Oil moved higher. This is the type of pattern after yesterday, that typically sees more follow through to the downside during the day session. Gold, Silver, Bitcoin, and the Dow all traded much lower with less of a bounce.

The Stock Index Portfolio 18 had some nice longs into the close and did the "least worse" on the day with -$4,210 and is the portfolio setup with the most equity peaks so far in 2026.

Longs and shorts were stopped out in many strategies and the Seven System Portfolio had one of its largest losing days while the 25 System Portfolio hit a new worse case drawdown with expanding volatility.

Stock Indexes have zoomed into over overbought territory in May and refuse to have much of a pullback but are also unable to move higher. There is a brazen contrarian nature to this market to rally and bounce no matter what. There seems to be more of a bid when there is persistent conflict with Iran. The longer we moved towards peace, the softer the market became. 

Some of the best trading days historically and largest winning days sometimes follow big losing days. We have also seen weekly patterns where Monday - Wednesday are challenging while Thursday and/or Friday, captured large gains to new equity peaks. 

The Seven System Portfolio, which was a top performer in June (+23K) is about $600 dollars away from a worse case drawdown and down (-16K) in July. This is a good drawdown entry alert.

The 25 System Portfolio has many variations of V-Reversal and has had two extremely challenging days in a row. Trading for a bounce in equity for either a long or short move on Thursday and/or Friday could be a good setup.

V-Reversal was down today on the long and short side.

Hypothetical Trading System Signals on 07-08-2026