The live trades for the One Million MNS 128 were -0.38% while the 250K Portfolio was -$760 on the day in live trade. Pre-Fed trading has been very sloppy and the order book was surprisingly thin. This is not always the case for pre-Fed trade. We will not trade our portfolios tomorrow since our backtests show that not trading on FOMC Day is better on average than if we do trade on FOMC Day. We will trade the FOMC Trader strategy if the setup is right.
We haven't had a lot of favorable price action this month but we are still up +1% on the month in live trade as we go into the much-debated FOMC meeting tomorrow. Favorable price action can be cyclical and we are looking for a cycle at the end of the month, after the FOMC meeting.
The hypothetical results for the Stock Index Portfolio 18 were -$5,760 per E-mini and -$596 per Micro. The Nasdaq continues to have steep pullbacks followed by prop up price action, making longs and shorts difficult this week.
The price action this week has been very sloppy. We are setup to trade trend, counter trend and mean reversion, but sloppy price action can be more challenging and random.
We are looking forward to getting past this FOMC meeting to see how the market responds.
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