Stocks finished near session highs Friday, recovering from a two-day slump, lifted by upbeat economic data from Europe and after comments from St. Louis Fed President James Bullard that the central bank’s aggressive easy money policy will stay for a “long time.”
Most key S&P sectors finished higher, led by materials and tech. Our short SPDR S&P Metals & Mining (XME) hit target on February 20, 2013 for near 6% profits. Not bad for a fast and low leverage trade. Below is an updated look at a trade in the XME. The ETF was under intense selling pressure in recent days and is at an interesting spot.
The graphic below is from our “U.S. Market ETF Trading Map”, which show the near-term technical bias and trading ranges for XME. As shown, the underlying is in a short-term bullish trend when the price bars are painted in green. The underlying is in a short-term bearish trend when the price bars are painted in red. The yellow bars identify period of neutral or sideways trading pattern. Additionally, the light-blue shading represents the short-term trading range. A move above or below that range is considered overbought (as represents by the red shading) or oversold (as represents by the dark-green shading). Readings above or below the red and green shaded areas are considered extremely overbought or extremely oversold.
Chart 1.1 – SPDR S&P Metals & Mining (daily)
As indicated in the above chart, our “U.S. Market ETF Trading Map” was looking at XME from a Sell side back in February 14, 2013.
You see, our trend-following system is very unique as it attempts to pick turns before others see them. Timing is everything and if you’ve applied our system correctly, you should have made a killing in any markets.
This is just an example of many successful trades that our member had enjoyed recently. After all, aren’t you glad you subscribed?
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