Managing Funds for a Living
- Thread starter paysense
- Start date
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2Atticus:
Thank you. I agree. I can tell from an equity curve most of the risk/reward nature of the manager.
Unfortunatlely, as a "C2 vendor", I get A LOT of flack regarding specific statistics. My guess is things do pan out in the end. Either a losing manager or a winner.
You of course are speaking a bit specific with regards to "trades". I take it if one has skill, experience, (lots of) knowledge and intuition - he/she can "trade" their way to success in ANY market scenario.
Hence, your 'risk adjusted' and 'absolute' criteria.
BTW constructing 'spread' trades seems quite easy on my "buying power". I've gotten nowhere near maxing this out and have reeled in some solid returns.
Soon you will be nearing 100% YTD?
GilL
Thank you. I agree. I can tell from an equity curve most of the risk/reward nature of the manager.
Unfortunatlely, as a "C2 vendor", I get A LOT of flack regarding specific statistics. My guess is things do pan out in the end. Either a losing manager or a winner.
You of course are speaking a bit specific with regards to "trades". I take it if one has skill, experience, (lots of) knowledge and intuition - he/she can "trade" their way to success in ANY market scenario.
Hence, your 'risk adjusted' and 'absolute' criteria.
BTW constructing 'spread' trades seems quite easy on my "buying power". I've gotten nowhere near maxing this out and have reeled in some solid returns.
Soon you will be nearing 100% YTD?
GilL
Also,
I am going to (once we get a 'sound' market bottom) leverage my fund with some e-mini trades with perhaps the use of "rolling stops" and buying (with stop loss targets) dips during the next uptrend.
The 5x instruments may be a considerable "enhancement" along with my call sells. I do see now, however that naked put sells could be best.
The only problem is (1) a good stock with nice call premium may not have (in an uptrend - both market and stock) good put premiums (would have to sell more contracts for gain to fund) (2) I'd have to change my screen to finding "high put premiums" (may be better of worse entries - prob better) from picks.
But you are right, synthetic is same a dollar lost is a dollar lost. I just have to adjust my stop loss method, accordingly.
Gilbert
I am going to (once we get a 'sound' market bottom) leverage my fund with some e-mini trades with perhaps the use of "rolling stops" and buying (with stop loss targets) dips during the next uptrend.
The 5x instruments may be a considerable "enhancement" along with my call sells. I do see now, however that naked put sells could be best.
The only problem is (1) a good stock with nice call premium may not have (in an uptrend - both market and stock) good put premiums (would have to sell more contracts for gain to fund) (2) I'd have to change my screen to finding "high put premiums" (may be better of worse entries - prob better) from picks.
But you are right, synthetic is same a dollar lost is a dollar lost. I just have to adjust my stop loss method, accordingly.
Gilbert
on the subject of money management
anybody care to explain the below.
Quote from makloda:
Your criticism is missing the point. No hedge fund investor is interested in outperforming your simple buy and hold strategy. Outperformance is (almost) entirely irrelevant. Hedge Funds are measured by their ability to deliver risk adjusted returns.
The typical HF investor is looking for a) positive monthly/quarterly/annual returns regardless of the performance of the strategies' underlying markets (e.g. equities, commodities, currencies etc.) b) low volatility of returns.
are you saying that the risk adjusted returns of hedge funds are less than buy and hold strategy after all expenses?
the original question was what percentage of hedge funds do better than a buy hold strategy after all expenses including taxes.
anybody care to explain the below.
Quote from makloda:
Your criticism is missing the point. No hedge fund investor is interested in outperforming your simple buy and hold strategy. Outperformance is (almost) entirely irrelevant. Hedge Funds are measured by their ability to deliver risk adjusted returns.
The typical HF investor is looking for a) positive monthly/quarterly/annual returns regardless of the performance of the strategies' underlying markets (e.g. equities, commodities, currencies etc.) b) low volatility of returns.
are you saying that the risk adjusted returns of hedge funds are less than buy and hold strategy after all expenses?
the original question was what percentage of hedge funds do better than a buy hold strategy after all expenses including taxes.
This is from a C2 post. Accurately reading Market Direction helps stock fund managers.
Just to clarify here my recent calls:
August 15, 2006 green light (from Stop Losses)
...came out of Stop Losses and WE WERE in a correction, close to market bottom.
Capitalized for many month period
February 27, 2007 Caution (from Green Light)
Indeed a market "correction" (albeit short) did unfold...but not long enough for us to even get into our Stop Losses mode.
March 21, 2007 Green Light (from Caution)
A "confirmation" came on Wednesday, March 21, 2007.
May 30, 2007: C2 inception
...the following calls were partly a result of short March 'correction' (that heeded added vigilance to preserve multi-year gains) and an extremely challenging Stock Market:
Also, Green Light coincided with relatively strong market from March 21, 2007 to June 7, 2007
June 7, 2007 Caution (from green light)
June 15, 2007 Green Light (from Caution) - first C2 post re: Market Direction.
June 29, 2007 Caution (from from Green Light)
July 12, 2007 Green Light (from Caution)
Strong follow-through "confirmation" that broke the indexes out into new high territory. Also at that time, institutional favorite, market leading stocks (RIMM, AAPL, GOOG, etc.) hadn't YET flinched - despite market gyrations.
In any event, you do some work and pull up the SPX, Nasdaq, DJIA, NYA, MID, RUT, SML charts and see for yourself that these subsequent calls did precisely what we intended, in the first place-
July 24, 2007 Caution (from Green Light)
July 26, 2007 Stop Losses (from Caution)
...to get us back into Stop Losses mode as close to the fallout as possible ..and yes, Sam, more than 1/3 of the decline - thus far - had already unfolded. But hey, we had already begun to cash out and were only holding our strongest positions
Like I said, they aren't entirely accurate (>80%) and don't predict, just "analyze" or follow in the steps of the Stock Market. Perhaps this is why you say they are ENTIRELY wrong and after the fact!
These methods do, in fact, help me and my customers get CASHED OUT - within days - of each market "top", and to capitalized by reinvesting within days of each market "bottom" when most strong gains are made.
That being said, strict stop-loss methods are ALWAYS a given for ALL stock positions.
I took a lot of flack here at ET when after gaining 50% since last August imperceptible gains were made in 2007. That is because the market was due for a correction - beginning in late-Feb/Mar. Since we didn't then get the 10%+ drop, thereby allowing for this Fund Manager to simply side-step it, salvage those gains and target the next market bottom and subsequent ramp - while others incur steep losses with the market, we are now seeing those same indexes now begin to drop below Mar lows.
It will take a while for stocks to recover and to allow for me to compound covered call option premiums. The next post outlines how I grew my C2 account 25% in these last few weeks.
Paysense/Gilbert
Just to clarify here my recent calls:
August 15, 2006 green light (from Stop Losses)
...came out of Stop Losses and WE WERE in a correction, close to market bottom.
Capitalized for many month period
February 27, 2007 Caution (from Green Light)
Indeed a market "correction" (albeit short) did unfold...but not long enough for us to even get into our Stop Losses mode.
March 21, 2007 Green Light (from Caution)
A "confirmation" came on Wednesday, March 21, 2007.
May 30, 2007: C2 inception
...the following calls were partly a result of short March 'correction' (that heeded added vigilance to preserve multi-year gains) and an extremely challenging Stock Market:
Also, Green Light coincided with relatively strong market from March 21, 2007 to June 7, 2007
June 7, 2007 Caution (from green light)
June 15, 2007 Green Light (from Caution) - first C2 post re: Market Direction.
June 29, 2007 Caution (from from Green Light)
July 12, 2007 Green Light (from Caution)
Strong follow-through "confirmation" that broke the indexes out into new high territory. Also at that time, institutional favorite, market leading stocks (RIMM, AAPL, GOOG, etc.) hadn't YET flinched - despite market gyrations.
In any event, you do some work and pull up the SPX, Nasdaq, DJIA, NYA, MID, RUT, SML charts and see for yourself that these subsequent calls did precisely what we intended, in the first place-
July 24, 2007 Caution (from Green Light)
July 26, 2007 Stop Losses (from Caution)
...to get us back into Stop Losses mode as close to the fallout as possible ..and yes, Sam, more than 1/3 of the decline - thus far - had already unfolded. But hey, we had already begun to cash out and were only holding our strongest positions
Like I said, they aren't entirely accurate (>80%) and don't predict, just "analyze" or follow in the steps of the Stock Market. Perhaps this is why you say they are ENTIRELY wrong and after the fact!
These methods do, in fact, help me and my customers get CASHED OUT - within days - of each market "top", and to capitalized by reinvesting within days of each market "bottom" when most strong gains are made.
That being said, strict stop-loss methods are ALWAYS a given for ALL stock positions.
I took a lot of flack here at ET when after gaining 50% since last August imperceptible gains were made in 2007. That is because the market was due for a correction - beginning in late-Feb/Mar. Since we didn't then get the 10%+ drop, thereby allowing for this Fund Manager to simply side-step it, salvage those gains and target the next market bottom and subsequent ramp - while others incur steep losses with the market, we are now seeing those same indexes now begin to drop below Mar lows.
It will take a while for stocks to recover and to allow for me to compound covered call option premiums. The next post outlines how I grew my C2 account 25% in these last few weeks.
Paysense/Gilbert
I post daily trading journal entries atr C2:
-musings:
Wednesday:
12:40 pm EST
The indexes have yet to show conviction in either direction.
Our RIMM contracts are seeing gains as the stock trends lower.
Vix/Vxn (investor fear) still pushing into high territory.
On Monday, the put-call volume ratio spiked to 1.22, a level reflecting widespread fear among investors.
Investors have not yet stampeded for the exits.
Dow 13,000, Nasdaq 2500, S&P 500 1430
Off 7%, 8% and 8% from highs, repectively. Perhaps will reach 10%+ criteria for corrections.
JADE flat on low volume, PRKR now OTM.
Stock with high volume accumulation have slowed to a trickle these past two days.
Amid market liquidity problems in the U.S., the Fed injected $7 billion in cash to "accommodate heightened reserve needs."
Still, the market's recent action has left no doubt that we're in a correction.
Nasty down days have become common lately.
Leading stocks have also suffered. Some big winners from earlier this year have frittered away big chunks of their past gains.
The Nasdaq had held a few points above its Aug. 6 trough, techically keeping its tenuous rally try intact.
However today's high volume descent has now killed the last of the indexes rally attempts.
Meanwhile after some intitial sputters, whereby this covered call manager was keen on staying in cash from (C2 incepton date, 30-May-2007) when signs of a market "top" seemed evident, did in fact incur losses from entered positions that moved down with the market.
Although stop-loss targets were heeded 23% DD was magnified in part by IOC position that went through our stop (~7%) and holding past and at one point even adding to (2) positions that moved against us (additional ~5%). Not to mention these mistakes being compounded from added anxiety caused by a relentless (heady) market!
Therefore, when signs of a "top" dictate a "Cautious" stance - strict adherence (even when pushed to the your limit i.e. no gains for 4 months with market forging on despite imminent pending correction) to stop loss methods must be implemented. Otherwise, 10-12% drawdown (in keeping with strategy) may be much more.
Xxxxxxx Xxxxxxx Insitute dictates that we cash out as close as possible to the beginning of a correction. While the markets tank we "outperform" by simply staying in cash. Also past gains are preserved along with our trading 'psyche'. We know how to enter the market within days of each bottom so ample gains with are cash are thereafter quite assured.
With C2's Xxxxxxx Xxxxxxx Covered Call Fund, we take advantage of all the above benefits - with an added caveat. Why not sell WOTM (way-out-the-money) spreads on indexes (DJX, QQQ, SPX) while waiting for the market to bottom? Once support levels are breached, continued high volume descents to the next lower level happen quite suddenly as momentum increases. The chances an index moves back up to break through upper support decreases. In the event it does, loss from the spread can be contained before the position moves through the lower strike price.
Anyways, I've been able to make gains from these trades and have moved our Fund up 25% from our deepest drawdown with these low risk, stress-free trades. You can view each of these as most have been closed. Just keep in mind that C2 requires me to "leg into" or BTO the upper strike call option positions before I can STO the lower strike calls to obtain the "net credit spread". Although these trades are typically opened together in your brokerage account and are deemed quite low in risk - C2 stats will show the long portion of the trade as "very high" or "extreme" in risk. At this point I do not even know how this affects APD, Sharpe Ratio or C2 score but the equity curve, buying power/margined will correlate with risk/reward.
So what have we traded? At appropriate index price levels from 24-Jul-2007 until now, we legged into a QQQ Aug07 bearish call spread at the 50 and 51 strikes for a net credit of .35 with 250 contracts. The position was closed on 06-Aug-2007 for a $7,250 gain (out of possible $8,750).
Our DJX Aug07 spread was at the 136 and 137 strikes for a net credit of .25 with 150 contracts. We held the position from 06-Aug-2007 until 08-Aug-2007 for a $4,500 loss. We made $1,000 from a quick entry and exit on DJX Aug 38 call on 08-Aug-2007 in our attempt to open a new spread trade. 200 contracts.
We entered a QQQ Aug07 bearish call spread trade at the 49 and 50 strikes for a .14 credit with 150 contracts. Opened on 06-Aug-2007 and closed on 14-Aug-2007 the position netted $1,650.
We did get into a new DJX spread at the Aug 137 and Aug 138 call strikes on 09-Aug-2007 for a .30 credit with 200 contracts. The position was closed on 14-Aug-2007 fully realizing the $6,000 gain!
We opened a new QQQ trade on 14-Aug-2007 at the Aug 48 and Aug 49 strikes. That .11 credit spread was closed on 15-Aug-2007 for $1,800 or the full possible return on the 150 contracts.
And finally our bearish call spread trade opened yesterday in RIMM (we felt the institutional favorite stock had broken lower support along with the market and was pending a sharp decline). 10 contracts were closed today realizing the full $4,000 gain from the .40 credit spread. These strikes were FOTM (far-out-the-money) at the 220 and 230 strikes while the stock was at 205. You can see by pulling up a chart that (1) most stocks move down with the market (2) overconming the upper support area will be very difficult (3) option spread trades are a safe easy way to leverage gains in your account during a prolonged market downtrend (i.e. correction).
Of course this is all meaningless if an accurate analysis of price and volume action from the major averages along with market leading stocks does not bear much fruit. But over time studies show that one rarely moves without the other (price and volume) and market leading stocks (re: growth) need to be strong for any rally to gain traction. Of course, insitutional investors are what most affect volume and this is what we follow.
Even though my Fund has regained almost all of my recent drawdown, I feel more gains are probable and have opened another WOTM QQQ spread trades (.21 credit on 100 contracts at the 49/50 strikes). A 25% rampup from the lows - most of which came just this past week and the ongoing correction has helped to put me in a good position once we resume selling covered calls!
You can read more at my website, XxxxxxxXxxxxxx where I have been training members and providing a Weekly Newsletter outlining these very same techniques, since 2002. The bottom falls out cash out - preserve cash from gains. Institutions move back into stocks to start new rally - compound gains from selling covered calls on high-yielding growth candidates. In a few short years these gains really do grow exponentially - while most other funds lanquish or daytraders burn out. Selling options short with either spreads or covered by stocks allow for you to receive cash from the gains up front. Then you can begin to profit as "time premium" from the calls quickly lose value with each passing day...without having to do anything. Then if the stock or index moves favorable in your direction (down with bearish index call spreads - esp WOTM or up with covered calls) you can close the position sooner and realize most of the gain in just days instead of weeks until expiration.
With my C2 Fund an assortment of added benefits will be implemented for perhaps solid gains to transpire over multi-year periods. After all, as long as people continue to work and companies trade in stocks and options - growth will transpire over the years and markets will continue to reach new highs and consolidate those gains with corrections and bear markets. By spotting these optimal periods to magnify gains and to retain those gains when appropriate this managers' funds will conitinue to progress. Perhaps not so funny to some is to remember their bullish bias when the averages were off 3% and the general consensus was that we were through with the decline! We now see triple-digit drops from the Dow as a common occurance.
Close
The selling of U.S. stocks accelerated ahead of the closing bell. The Nasdaq sold off especially hard - quickly dropping to the next support level during the last two hours of the session. Trading was heavy.
Dow Industrials breach 13,000 level and next support isn't until 12,500.
SPX closes at the lows and next support level may be near Mar correction lows.
Same with MID (S&P MidCap 400) and SML (S&P Small-Cap 600).
Same with NYA (NYSE composite).
The Russell 2000 has already forged below Mar the lows.
Soxx (Philly Semiconductor Index) today quickly dropped to its next lower support level or 2.5% down.
Meanwhile, VIX reached even higher at 31.76. We still have a lot of work to do for leading stocks to develop new (bullish) price patterns and for the major indexes and investor fear to peak and settle down and begin forging a new rally.
This still just doesn't have that extreme feel of panic.
-"official":
Week of August 18, 2007
Wednesday, August 15, 2007
Close
What started as a see-saw session turned into a sellers' rout, driving major indexes down firmly on higher volume Wednesday.
The Dow Jones Industrial Average sank 167.45 points, or 1.29% to 12,861.47.
The Nasdaq Composite dropped 40.29 points, or 1.61% to 2,458.83.
The Standard & Poor's 500 Index fell 19.84 points, or 1.39% to 1,406.70.
-musings:
Wednesday:
12:40 pm EST
The indexes have yet to show conviction in either direction.
Our RIMM contracts are seeing gains as the stock trends lower.
Vix/Vxn (investor fear) still pushing into high territory.
On Monday, the put-call volume ratio spiked to 1.22, a level reflecting widespread fear among investors.
Investors have not yet stampeded for the exits.
Dow 13,000, Nasdaq 2500, S&P 500 1430
Off 7%, 8% and 8% from highs, repectively. Perhaps will reach 10%+ criteria for corrections.
JADE flat on low volume, PRKR now OTM.
Stock with high volume accumulation have slowed to a trickle these past two days.
Amid market liquidity problems in the U.S., the Fed injected $7 billion in cash to "accommodate heightened reserve needs."
Still, the market's recent action has left no doubt that we're in a correction.
Nasty down days have become common lately.
Leading stocks have also suffered. Some big winners from earlier this year have frittered away big chunks of their past gains.
The Nasdaq had held a few points above its Aug. 6 trough, techically keeping its tenuous rally try intact.
However today's high volume descent has now killed the last of the indexes rally attempts.
Meanwhile after some intitial sputters, whereby this covered call manager was keen on staying in cash from (C2 incepton date, 30-May-2007) when signs of a market "top" seemed evident, did in fact incur losses from entered positions that moved down with the market.
Although stop-loss targets were heeded 23% DD was magnified in part by IOC position that went through our stop (~7%) and holding past and at one point even adding to (2) positions that moved against us (additional ~5%). Not to mention these mistakes being compounded from added anxiety caused by a relentless (heady) market!
Therefore, when signs of a "top" dictate a "Cautious" stance - strict adherence (even when pushed to the your limit i.e. no gains for 4 months with market forging on despite imminent pending correction) to stop loss methods must be implemented. Otherwise, 10-12% drawdown (in keeping with strategy) may be much more.
Xxxxxxx Xxxxxxx Insitute dictates that we cash out as close as possible to the beginning of a correction. While the markets tank we "outperform" by simply staying in cash. Also past gains are preserved along with our trading 'psyche'. We know how to enter the market within days of each bottom so ample gains with are cash are thereafter quite assured.
With C2's Xxxxxxx Xxxxxxx Covered Call Fund, we take advantage of all the above benefits - with an added caveat. Why not sell WOTM (way-out-the-money) spreads on indexes (DJX, QQQ, SPX) while waiting for the market to bottom? Once support levels are breached, continued high volume descents to the next lower level happen quite suddenly as momentum increases. The chances an index moves back up to break through upper support decreases. In the event it does, loss from the spread can be contained before the position moves through the lower strike price.
Anyways, I've been able to make gains from these trades and have moved our Fund up 25% from our deepest drawdown with these low risk, stress-free trades. You can view each of these as most have been closed. Just keep in mind that C2 requires me to "leg into" or BTO the upper strike call option positions before I can STO the lower strike calls to obtain the "net credit spread". Although these trades are typically opened together in your brokerage account and are deemed quite low in risk - C2 stats will show the long portion of the trade as "very high" or "extreme" in risk. At this point I do not even know how this affects APD, Sharpe Ratio or C2 score but the equity curve, buying power/margined will correlate with risk/reward.
So what have we traded? At appropriate index price levels from 24-Jul-2007 until now, we legged into a QQQ Aug07 bearish call spread at the 50 and 51 strikes for a net credit of .35 with 250 contracts. The position was closed on 06-Aug-2007 for a $7,250 gain (out of possible $8,750).
Our DJX Aug07 spread was at the 136 and 137 strikes for a net credit of .25 with 150 contracts. We held the position from 06-Aug-2007 until 08-Aug-2007 for a $4,500 loss. We made $1,000 from a quick entry and exit on DJX Aug 38 call on 08-Aug-2007 in our attempt to open a new spread trade. 200 contracts.
We entered a QQQ Aug07 bearish call spread trade at the 49 and 50 strikes for a .14 credit with 150 contracts. Opened on 06-Aug-2007 and closed on 14-Aug-2007 the position netted $1,650.
We did get into a new DJX spread at the Aug 137 and Aug 138 call strikes on 09-Aug-2007 for a .30 credit with 200 contracts. The position was closed on 14-Aug-2007 fully realizing the $6,000 gain!
We opened a new QQQ trade on 14-Aug-2007 at the Aug 48 and Aug 49 strikes. That .11 credit spread was closed on 15-Aug-2007 for $1,800 or the full possible return on the 150 contracts.
And finally our bearish call spread trade opened yesterday in RIMM (we felt the institutional favorite stock had broken lower support along with the market and was pending a sharp decline). 10 contracts were closed today realizing the full $4,000 gain from the .40 credit spread. These strikes were FOTM (far-out-the-money) at the 220 and 230 strikes while the stock was at 205. You can see by pulling up a chart that (1) most stocks move down with the market (2) overconming the upper support area will be very difficult (3) option spread trades are a safe easy way to leverage gains in your account during a prolonged market downtrend (i.e. correction).
Of course this is all meaningless if an accurate analysis of price and volume action from the major averages along with market leading stocks does not bear much fruit. But over time studies show that one rarely moves without the other (price and volume) and market leading stocks (re: growth) need to be strong for any rally to gain traction. Of course, insitutional investors are what most affect volume and this is what we follow.
Even though my Fund has regained almost all of my recent drawdown, I feel more gains are probable and have opened another WOTM QQQ spread trades (.21 credit on 100 contracts at the 49/50 strikes). A 25% rampup from the lows - most of which came just this past week and the ongoing correction has helped to put me in a good position once we resume selling covered calls!
You can read more at my website, XxxxxxxXxxxxxx where I have been training members and providing a Weekly Newsletter outlining these very same techniques, since 2002. The bottom falls out cash out - preserve cash from gains. Institutions move back into stocks to start new rally - compound gains from selling covered calls on high-yielding growth candidates. In a few short years these gains really do grow exponentially - while most other funds lanquish or daytraders burn out. Selling options short with either spreads or covered by stocks allow for you to receive cash from the gains up front. Then you can begin to profit as "time premium" from the calls quickly lose value with each passing day...without having to do anything. Then if the stock or index moves favorable in your direction (down with bearish index call spreads - esp WOTM or up with covered calls) you can close the position sooner and realize most of the gain in just days instead of weeks until expiration.
With my C2 Fund an assortment of added benefits will be implemented for perhaps solid gains to transpire over multi-year periods. After all, as long as people continue to work and companies trade in stocks and options - growth will transpire over the years and markets will continue to reach new highs and consolidate those gains with corrections and bear markets. By spotting these optimal periods to magnify gains and to retain those gains when appropriate this managers' funds will conitinue to progress. Perhaps not so funny to some is to remember their bullish bias when the averages were off 3% and the general consensus was that we were through with the decline! We now see triple-digit drops from the Dow as a common occurance.
Close
The selling of U.S. stocks accelerated ahead of the closing bell. The Nasdaq sold off especially hard - quickly dropping to the next support level during the last two hours of the session. Trading was heavy.
Dow Industrials breach 13,000 level and next support isn't until 12,500.
SPX closes at the lows and next support level may be near Mar correction lows.
Same with MID (S&P MidCap 400) and SML (S&P Small-Cap 600).
Same with NYA (NYSE composite).
The Russell 2000 has already forged below Mar the lows.
Soxx (Philly Semiconductor Index) today quickly dropped to its next lower support level or 2.5% down.
Meanwhile, VIX reached even higher at 31.76. We still have a lot of work to do for leading stocks to develop new (bullish) price patterns and for the major indexes and investor fear to peak and settle down and begin forging a new rally.
This still just doesn't have that extreme feel of panic.
-"official":
Week of August 18, 2007
Wednesday, August 15, 2007
Close
What started as a see-saw session turned into a sellers' rout, driving major indexes down firmly on higher volume Wednesday.
The Dow Jones Industrial Average sank 167.45 points, or 1.29% to 12,861.47.
The Nasdaq Composite dropped 40.29 points, or 1.61% to 2,458.83.
The Standard & Poor's 500 Index fell 19.84 points, or 1.39% to 1,406.70.
Where would your funds be had you been reading all along?
Members Area
Weekly Newsletter
Volume VI, Issue XX-XII
August 12, 2007
Announcements
Be sure and capitalize by using our Hedge Fund Manager as your very own personal investment coach! Now included with your Classic or Pro subscription, you may speak directly with Mr. Gilbert J. Arevalo, President & Chief Hedge Fund Strategist, Xxxxxxx Capital Management by simply calling his personal line at (cell) XXX.XXX.XXXX to get your investments back on track - FAST!!
The week started off with stocks powered higher in brisk volume Monday, fueling a follow-through day for the Dow. The market did see a couple of signs of divergence. Losers beat winners on the Nasdaq. And the IBD 100, a gauge of market leading stocks, rose just 0.5% - lagging well behind the broad marketâs gains.
However that was not an edict to rush out and buy blindly. Furthermore, we remained vigilant to watch out for distribution in the first few days of this confirmed rally. Heavy distribution soon after a follow-through usually portends the end of a short-lived rally.
Stocks finished with modest gains Tuesday as the Fed left rates unchanged. The major stock indexes sold off in the wake of the policy statementâs release, but later rallied after investors digested its implications. The major stock indexes climbed for the third straight day Wednesday, buoyed by Cisco Systemsâ earnings win. The Nasdaq took the lead, jumping 2% in heavy volume.
But the IBD 100, which serves as a proxy for the action of top-rated stocks, rose just 1.4%. That marked the third time in the past four sessions that the index had lagged or only matched the S&P 500. While plenty of leaders surged in volume, several high-rated stocks sold off hard.
The credit crunch fueled a big sell-off that whacked stocks Thursday, thrusting the marketâs fledgling rally onto thin ice. NYSE stocks took the biggest hit. The S&P 500 and NYSE composite both dived 3%, the Dow industrials 2.8%. The Nasdaq retreated 2.2%. The IBD 100 index fared worse, giving up 4.4%.
A day after one of the most active sessions of the year, volume spurted even higher on the NYSE, up 7% to 2.8 billion shares. Nasdaq volume dipped slightly, but still marked one of its highest totals of 2007 with 3.63 billion shares. Thursdayâs NYSE distribution day was one of the nastiest of 2007, leaving no doubt that big-money investors were bailing out.
Continuing credit worries sparked a brutal sell-off in the market shortly after the opening bell Friday. The Dow pared its losses after an ugly start Friday, but not before undercutting its recent low and technically killing the fledgling rally. But the S&P 500 and the Nasdaq did not drop below their prior lows. That means itâs possible that they could make a big upward move Monday or Tuesday and confirm the start of a new rally.
But the market remains very choppy, which has pushed the CBOE Market Volatility Index to 32.6. Though thatâs its highest since spring 2003, itâs still well below the 50 level that has historically signaled major turns in the market. The events of the past few weeks have made it clear that weâre in a news-driven, whipsawing market.
You donât want to make all-or-nothing bets at a time like this. Itâs best to move with the market. That means staying off margin and ditching laggard stocks. If you want to ride out the correction, make sure itâs with a big winner that provides an ample cushion. New buys are especially tough in this environment and are always a risk in a choppy market, even with a stock thatâs fundamentally strong and crossing a sound buy point.
We currently are in "Stop Losses" mode, a change in our Market Direction call enacted Thursday, 26-Jul-2007. We are now looking for a move that would signal a follow-through. Not every follow-through day triggers a new rally, though. You also want to see top-rated stocks notching gains in robust volume, or breaking out of bases. Without that leadership, a rally can often lack the fuel to keep going for long.
The best way to navigate this kind of market is also the best way to navigate any market condition: exercise discipline - WHICH YOU WILL LEARN as a member of Xxxxxxx Capital Training Insitute! If youâre a novice covered call writer, check out our two exhaustive Training Seminar series' at XxxxxxxCapital.com, and learn more about mastering a set of proper covered call buy and sell rules. Even if youâre a veteran trader, a refresher course is a good idea. Even the most successful investors make their share of mistakes!
At Xxxxxxx Capital, we lay out multiple strategies for coping with a declining stock or market correction. Youâll also find tips on how to spot a follow-through day, so you can be ready to buy with each market recovery. No time like the present, so GET ON BOARD TODAY and begin afresh to learn how to manage your money like a pro! Simply follow along with each and every trade made in our stellar portfolios and you too, will soon understand how and why we do what we do - and reap the financial benefits of a lifetime!
You may not be aware of it, but the individual investor is hard-pressed TO MAKE ANY KIND OF MONEY with his or her investments. I'm not talking about the occasional hit or home-run, but over any multi-year period (more than one) - even the seasoned pro will likely fall short of the major averages. With the close of 2006, we at XxxxxxxCapital.com are very pleased to have afforded our members with 25.5% and 34.2% year-to-date gains, from trades made in our respective Classic and Pro Funds.
Only by following ALL OF OUR MOVES in and out of the stock market and covered call positions, will you be able to FULLY UNDERSTAND how we have outperformed in the past! Study ALL of our Performance Charts to gain a perspective on how we handle both favorable and untenable market periods.
Learn how to grow your funds EXPONENTIALLY - AND TO KEEP YOUR LOSSES TO A MINIMUM! In 2006 we avoided major losses to our Funds by side-stepping the onslaught of the year's 15% correction from the Nasdaq. Then we successfully phased into high-yielding covered call positions - just days after the Stock Market bottom. OUR FUNDS MOVED UP 45% IN JUST SIX MONTHS! At XxxxxxxCapital.com we do exactly what we say, year-in and year-out. Substantial gains in 2007 are VERY PROBABLE - so Get on board TODAY!
Glimpse at a recent snapshot of our "Pro" Model Portfolio and updated Performance Charts; Pro Fund and Pro Fund vs Nasdaq and see that our covered call training services are unrivalled in the industry!
Members Area
Weekly Newsletter
Volume VI, Issue XX-XII
August 12, 2007
Announcements
Be sure and capitalize by using our Hedge Fund Manager as your very own personal investment coach! Now included with your Classic or Pro subscription, you may speak directly with Mr. Gilbert J. Arevalo, President & Chief Hedge Fund Strategist, Xxxxxxx Capital Management by simply calling his personal line at (cell) XXX.XXX.XXXX to get your investments back on track - FAST!!
The week started off with stocks powered higher in brisk volume Monday, fueling a follow-through day for the Dow. The market did see a couple of signs of divergence. Losers beat winners on the Nasdaq. And the IBD 100, a gauge of market leading stocks, rose just 0.5% - lagging well behind the broad marketâs gains.
However that was not an edict to rush out and buy blindly. Furthermore, we remained vigilant to watch out for distribution in the first few days of this confirmed rally. Heavy distribution soon after a follow-through usually portends the end of a short-lived rally.
Stocks finished with modest gains Tuesday as the Fed left rates unchanged. The major stock indexes sold off in the wake of the policy statementâs release, but later rallied after investors digested its implications. The major stock indexes climbed for the third straight day Wednesday, buoyed by Cisco Systemsâ earnings win. The Nasdaq took the lead, jumping 2% in heavy volume.
But the IBD 100, which serves as a proxy for the action of top-rated stocks, rose just 1.4%. That marked the third time in the past four sessions that the index had lagged or only matched the S&P 500. While plenty of leaders surged in volume, several high-rated stocks sold off hard.
The credit crunch fueled a big sell-off that whacked stocks Thursday, thrusting the marketâs fledgling rally onto thin ice. NYSE stocks took the biggest hit. The S&P 500 and NYSE composite both dived 3%, the Dow industrials 2.8%. The Nasdaq retreated 2.2%. The IBD 100 index fared worse, giving up 4.4%.
A day after one of the most active sessions of the year, volume spurted even higher on the NYSE, up 7% to 2.8 billion shares. Nasdaq volume dipped slightly, but still marked one of its highest totals of 2007 with 3.63 billion shares. Thursdayâs NYSE distribution day was one of the nastiest of 2007, leaving no doubt that big-money investors were bailing out.
Continuing credit worries sparked a brutal sell-off in the market shortly after the opening bell Friday. The Dow pared its losses after an ugly start Friday, but not before undercutting its recent low and technically killing the fledgling rally. But the S&P 500 and the Nasdaq did not drop below their prior lows. That means itâs possible that they could make a big upward move Monday or Tuesday and confirm the start of a new rally.
But the market remains very choppy, which has pushed the CBOE Market Volatility Index to 32.6. Though thatâs its highest since spring 2003, itâs still well below the 50 level that has historically signaled major turns in the market. The events of the past few weeks have made it clear that weâre in a news-driven, whipsawing market.
You donât want to make all-or-nothing bets at a time like this. Itâs best to move with the market. That means staying off margin and ditching laggard stocks. If you want to ride out the correction, make sure itâs with a big winner that provides an ample cushion. New buys are especially tough in this environment and are always a risk in a choppy market, even with a stock thatâs fundamentally strong and crossing a sound buy point.
We currently are in "Stop Losses" mode, a change in our Market Direction call enacted Thursday, 26-Jul-2007. We are now looking for a move that would signal a follow-through. Not every follow-through day triggers a new rally, though. You also want to see top-rated stocks notching gains in robust volume, or breaking out of bases. Without that leadership, a rally can often lack the fuel to keep going for long.
The best way to navigate this kind of market is also the best way to navigate any market condition: exercise discipline - WHICH YOU WILL LEARN as a member of Xxxxxxx Capital Training Insitute! If youâre a novice covered call writer, check out our two exhaustive Training Seminar series' at XxxxxxxCapital.com, and learn more about mastering a set of proper covered call buy and sell rules. Even if youâre a veteran trader, a refresher course is a good idea. Even the most successful investors make their share of mistakes!
At Xxxxxxx Capital, we lay out multiple strategies for coping with a declining stock or market correction. Youâll also find tips on how to spot a follow-through day, so you can be ready to buy with each market recovery. No time like the present, so GET ON BOARD TODAY and begin afresh to learn how to manage your money like a pro! Simply follow along with each and every trade made in our stellar portfolios and you too, will soon understand how and why we do what we do - and reap the financial benefits of a lifetime!
You may not be aware of it, but the individual investor is hard-pressed TO MAKE ANY KIND OF MONEY with his or her investments. I'm not talking about the occasional hit or home-run, but over any multi-year period (more than one) - even the seasoned pro will likely fall short of the major averages. With the close of 2006, we at XxxxxxxCapital.com are very pleased to have afforded our members with 25.5% and 34.2% year-to-date gains, from trades made in our respective Classic and Pro Funds.
Only by following ALL OF OUR MOVES in and out of the stock market and covered call positions, will you be able to FULLY UNDERSTAND how we have outperformed in the past! Study ALL of our Performance Charts to gain a perspective on how we handle both favorable and untenable market periods.
Learn how to grow your funds EXPONENTIALLY - AND TO KEEP YOUR LOSSES TO A MINIMUM! In 2006 we avoided major losses to our Funds by side-stepping the onslaught of the year's 15% correction from the Nasdaq. Then we successfully phased into high-yielding covered call positions - just days after the Stock Market bottom. OUR FUNDS MOVED UP 45% IN JUST SIX MONTHS! At XxxxxxxCapital.com we do exactly what we say, year-in and year-out. Substantial gains in 2007 are VERY PROBABLE - so Get on board TODAY!
Glimpse at a recent snapshot of our "Pro" Model Portfolio and updated Performance Charts; Pro Fund and Pro Fund vs Nasdaq and see that our covered call training services are unrivalled in the industry!
Week in Review: Market Analysis
A late afternoon rally helped all three of the major stock indexes notch sizable gains Monday. The S&P 500 fared the best, adding 2.4%, while the Dow added 2.2%, closing at the top of its intraday range. The Nasdaq also rebounded, bouncing off its 200-day average to gain 1.4%. Volume rose across the board. The day was considered a follow-through day for the Dow, confirming the fourth day of an attempted rally for that index.
Financial stocks, which fell hard in the prior week amid mounting pressure from subprime mortgages and a general credit squeeze, rebounded sharply Monday. Lenders Fannie Mae and Freddie Mac led the charge, soaring in huge volume on speculation that the government might lift restrictions on the size of the two firmsâ investment portfolios.
Oil futures dived $3.42, or 4.5%, to $72.06 a barrel, on fears of slower U.S. economic growth. Oil hit a record high of $78.77 last week. Meanwhile, investors were keeping a close eye on the Federal Reserve scheduled to meet Tuesday to discuss its interest rate policy. Expectations were to leave rates unchanged at 5.25%.
The market bounced around Tuesday but ultimately closed higher after the Federal Reserve left interest rates unchanged at 5.25% for the ninth straight meeting. The S&P 500 and Nasdaq each climbed 0.6%. The Dow industrials picked up 0.3%. Volume was unchanged on the Nasdaq and slightly lower on the NYSE.
Even though the FOMC somewhat eased its tightening bias, it maintained that inflation was still its âpredominantâ concern, despite troubles in the credit and housing markets. The news sent major indexes in a tailspin in the following 45 minutes, as investorsâ hopes for future rate cuts dissipated. The Dow sank as much as 169 points and other indexes declined as well.
Despite the disappointment, buyers soon came in, pushing major indexes mostly higher in the final trading hours. Leading stocks, which lagged during Mondayâs follow-through, were strong performers Tuesday. The IBD 100, which tracks the performance of high-rated stocks, flew 2% Tuesday, after edging up just 0.5% Monday.
A bullish earnings report from Cisco Systems sent stocks skyward Wednesday, with the Nasdaq leading the way. The Nasdaq gapped up at the open and kept rising for much of the day. With about 90 minutes left, stocks pulled back on rumors of a Goldman Sachs profit warning. But stocks rallied in the final minutes after the investment banker dismissed the speculation.
The tech-laden index rose 2%. The NYSE composite jumped 1.5%, the S&P 500 1.4% and the Dow industrials 1.1%. The small-cap S&P 600 bounced 1.5%. Volume swelled across the board. The Nasdaqâs total of 3.68 billion shares marked its second-biggest reading of the year, trailing only the most recent quadruple-witching day June 22.
Cisco added about 110 million shares to the Nasdaqâs tally by itself, as the networking giant jumped on nearly four times average trade. The marketâs big gains were an encouraging sign in its fledgling rally. Stocks struggled in late July and earlier this month, before the Dow staged a follow-through on Monday.
Two straight up days in brisk volume pointed to active buying among big-money institutional investors such as mutual funds. Highly-rated stocks also fared well. A number of former market leaders staged robust gains in rapid turnover, returning to prominence. That kind of broadening leadership is typically a good sign for an emerging rally.
This volatile market has seen its fair share of strong surges from the major indexes. Even still, at XxxxxxxCapital.com we train members to exercise patience. Donât try to anticipate a market upturn or a follow-through before it happens. Let the price and volume action of the major indexes and leading stocks guide your hand. Follow their lead, instead of trying to predict what they might do.
Week in Review: Market Analysis (cont.)
Burgeoning credit and housing worries sent the stocks falling hard Thursday. A flood of headlines spooked Wall Street, led by fears over the growing credit crunch. BNP Paribas, Franceâs biggest bank, said it was halting withdrawals from three of its top funds. The European Central Bank loaned more than $130 billion in overnight funds to banks at a 4% rate in an effort to soothe those concerns.
The Federal Reserve also kicked in $24 billion to temporary U.S. reserves. Elsewhere, insurance giant AIG said itâs seeing mortgage delinquencies spreading from subprime to prime. Goldman Sachs led another big drop among investment bankers on reports that two of its computer-driven hedge funds have liquidated some positions amid big recent losses.
The selling was broad, spreading across a range of sectors. The S&P 500 tumbled 3%, erasing the gains it scored during the previous two sessions. The drop left it just above its 200-day moving average line. Meanwhile, the Dow gave up 2.8% and the Nasdaq surrendered 2.2%.
Of 197 industry groups, 187 registered losses for the day. And declining stocks out-numbered advancing stocks by 15-to-4 on the NYSE and 2-to-1 on the Nasdaq. Treasuries responded in kind. The yield on the benchmark 10-year note slid to 4.78%, down from 4.87% Wednesday. The odds for a rate cut at the Fedâs September meeting zoomed to 88%, up from 20% on Wednesday. The Street has already fully priced in an October cut.
Stocks swooned in the morning Friday, following Countrywide Financialâs disclosure late Thursday that the jumpy mortgage market could threaten the firmâs finances. In an effort to stabilize the market, the Federal Reserve injected $38 billion on top of Thursdayâs $24 billion. Those moves were in addition to big contributions from the European Central Bank. Despite the gyrations, the Dow ended its volatile week up 0.4%. The NYSE composite rose 0.7%, the Nasdaq 1.3%, the S&P 500 1.4%. But the broad indexes all closed in the lower half of their weekly ranges.
A late afternoon rally helped all three of the major stock indexes notch sizable gains Monday. The S&P 500 fared the best, adding 2.4%, while the Dow added 2.2%, closing at the top of its intraday range. The Nasdaq also rebounded, bouncing off its 200-day average to gain 1.4%. Volume rose across the board. The day was considered a follow-through day for the Dow, confirming the fourth day of an attempted rally for that index.
Financial stocks, which fell hard in the prior week amid mounting pressure from subprime mortgages and a general credit squeeze, rebounded sharply Monday. Lenders Fannie Mae and Freddie Mac led the charge, soaring in huge volume on speculation that the government might lift restrictions on the size of the two firmsâ investment portfolios.
Oil futures dived $3.42, or 4.5%, to $72.06 a barrel, on fears of slower U.S. economic growth. Oil hit a record high of $78.77 last week. Meanwhile, investors were keeping a close eye on the Federal Reserve scheduled to meet Tuesday to discuss its interest rate policy. Expectations were to leave rates unchanged at 5.25%.
The market bounced around Tuesday but ultimately closed higher after the Federal Reserve left interest rates unchanged at 5.25% for the ninth straight meeting. The S&P 500 and Nasdaq each climbed 0.6%. The Dow industrials picked up 0.3%. Volume was unchanged on the Nasdaq and slightly lower on the NYSE.
Even though the FOMC somewhat eased its tightening bias, it maintained that inflation was still its âpredominantâ concern, despite troubles in the credit and housing markets. The news sent major indexes in a tailspin in the following 45 minutes, as investorsâ hopes for future rate cuts dissipated. The Dow sank as much as 169 points and other indexes declined as well.
Despite the disappointment, buyers soon came in, pushing major indexes mostly higher in the final trading hours. Leading stocks, which lagged during Mondayâs follow-through, were strong performers Tuesday. The IBD 100, which tracks the performance of high-rated stocks, flew 2% Tuesday, after edging up just 0.5% Monday.
A bullish earnings report from Cisco Systems sent stocks skyward Wednesday, with the Nasdaq leading the way. The Nasdaq gapped up at the open and kept rising for much of the day. With about 90 minutes left, stocks pulled back on rumors of a Goldman Sachs profit warning. But stocks rallied in the final minutes after the investment banker dismissed the speculation.
The tech-laden index rose 2%. The NYSE composite jumped 1.5%, the S&P 500 1.4% and the Dow industrials 1.1%. The small-cap S&P 600 bounced 1.5%. Volume swelled across the board. The Nasdaqâs total of 3.68 billion shares marked its second-biggest reading of the year, trailing only the most recent quadruple-witching day June 22.
Cisco added about 110 million shares to the Nasdaqâs tally by itself, as the networking giant jumped on nearly four times average trade. The marketâs big gains were an encouraging sign in its fledgling rally. Stocks struggled in late July and earlier this month, before the Dow staged a follow-through on Monday.
Two straight up days in brisk volume pointed to active buying among big-money institutional investors such as mutual funds. Highly-rated stocks also fared well. A number of former market leaders staged robust gains in rapid turnover, returning to prominence. That kind of broadening leadership is typically a good sign for an emerging rally.
This volatile market has seen its fair share of strong surges from the major indexes. Even still, at XxxxxxxCapital.com we train members to exercise patience. Donât try to anticipate a market upturn or a follow-through before it happens. Let the price and volume action of the major indexes and leading stocks guide your hand. Follow their lead, instead of trying to predict what they might do.
Week in Review: Market Analysis (cont.)
Burgeoning credit and housing worries sent the stocks falling hard Thursday. A flood of headlines spooked Wall Street, led by fears over the growing credit crunch. BNP Paribas, Franceâs biggest bank, said it was halting withdrawals from three of its top funds. The European Central Bank loaned more than $130 billion in overnight funds to banks at a 4% rate in an effort to soothe those concerns.
The Federal Reserve also kicked in $24 billion to temporary U.S. reserves. Elsewhere, insurance giant AIG said itâs seeing mortgage delinquencies spreading from subprime to prime. Goldman Sachs led another big drop among investment bankers on reports that two of its computer-driven hedge funds have liquidated some positions amid big recent losses.
The selling was broad, spreading across a range of sectors. The S&P 500 tumbled 3%, erasing the gains it scored during the previous two sessions. The drop left it just above its 200-day moving average line. Meanwhile, the Dow gave up 2.8% and the Nasdaq surrendered 2.2%.
Of 197 industry groups, 187 registered losses for the day. And declining stocks out-numbered advancing stocks by 15-to-4 on the NYSE and 2-to-1 on the Nasdaq. Treasuries responded in kind. The yield on the benchmark 10-year note slid to 4.78%, down from 4.87% Wednesday. The odds for a rate cut at the Fedâs September meeting zoomed to 88%, up from 20% on Wednesday. The Street has already fully priced in an October cut.
Stocks swooned in the morning Friday, following Countrywide Financialâs disclosure late Thursday that the jumpy mortgage market could threaten the firmâs finances. In an effort to stabilize the market, the Federal Reserve injected $38 billion on top of Thursdayâs $24 billion. Those moves were in addition to big contributions from the European Central Bank. Despite the gyrations, the Dow ended its volatile week up 0.4%. The NYSE composite rose 0.7%, the Nasdaq 1.3%, the S&P 500 1.4%. But the broad indexes all closed in the lower half of their weekly ranges.
Thereâs a reason XxxxxxxCapital.com pays such close attention to a stockâs price action and its volume â one rarely goes far without the other. And when prices make big moves without supporting volume, or volume spikes without price gains coming along, thatâs often a sign of trouble.
With routine precision by side-stepping the heavy losses incurred by most, once again we have preserved most all of our sizeable compounded annual gains. Where would your net worth be had you grown your funds exponential returns year-after-year? We are now looking for a the Stock Market to follow-through on a new rally with big-money institutional investors jumping in to buy shares.. No market rally has ever started without a follow-through. Just be aware that not every follow-through kick-starts a new rally.
It is imperative that you cut your losses short. Never let a stock fall much beyond your stop-loss target. At XxxxxxxCapital.com, our members are given a well-thought out, proven method for minimizing losses after ramping up heady gains. Selling quickly lets you preserve your capital for new buys. It also helps you maintain your confidence by avoiding crushing losses.
Meanwhile, DON'T IGNORE YOUR WATCHLIST. Keep your watchlist fresh to find the best opportunities for your cash. With each market follow-through to a new rally, new leaders typically emerge from consolidated bases. Delete companies that have broken down. Look for stocks with superior fundamentals that are making calmer corrections. Also remember that the next wave of market leadership may not resemble the last rallyâs. Rather than guess, wait for the leadership to develop on its own.
2006 ENDED WITH DOUBLE DIGIT GAINS FOR THE MAJOR INDEXES. Growth investors needed extreme discipline to pocket gains in â06, though. In good markets and bad, smooth markets and choppy ones, following a strict set of buy and sell rules is the best way to maximize gains and limit losses. We provide complete covered call investment training to help you get your funds back on track!
Weekly Trades
MEMBERS' ONLY CONTENT! Subscribers to our CLASSIC or PRO Services gain access to our Hedge Fund Manager's Daily Trading Journal and ALL of his trades, Model Portfolio, Trading History, Covered Call Candidates, Current Market Direction, Weekly Newsletter, TWO exhaustive series's of Training Seminars that reveal our covered call investment strategy methods - and much more!
Xxxxxxx Capital Classic Covered Call Fund
This past week, our Classic Fund stayed even with a 0.00% gain/loss. Thus far in 2007, the fund is still up 3.93%, and is currently 0% vested.
For all of 2006 our non-margin fund SWELLED 25.64%. On the year, it outperformed the Nasdaq by 15.93%, the Dow by 9.17% and the S&P 500 by 11.84!
We have called EVERY MARKET BOTTOM...within days! See our Past Performance Charts. Get in on the ground floor, since over time - we have never been outperformed!!!
Xxxxxxx Capital Pro Covered Call Fund
Our "limited"-margin fund - which closed 2006 at an ALL-TIME HIGH, rose 0.39% on the week. In 2007 the fund is now off 0.31%. Currently our premier fund is now off margin and is 6.8% vested.
Our Pro Fund again performed especially well this past year - SURGING 34.17% for all of 2006! Xxxxxxx Capital finished 2006 with our Pro Fund having outperformed the Nasdaq BY A WHOPPING 24.65%, the Dow by 17.88% and the S&P 500 by 20.55%!
2007 will likely once again afford members the opportunity to "enhance" our funds with margin-trading! NO TIME LIKE THE PRESENT to take advantage of all our Services - and reap the financial benefits of a lifetime!
Comments from the CEO
Amidst all this, Xxxxxxx Capital continues to be a shining example of how to navigate through treacherous market conditions. First off, we sell covered calls - that's all we do! By accurately moving back into stocks just days after the bottom of last year's market correction - and February's sharp decline, we've racked up heady gains with relative ease. If you have been following in step with our Hedge Fund Manager, you are now well ahead of the game. Just one look at our Performance Charts and it's easy to see why Xxxxxxx Capital Training Institute...IS HOME OF THE BEST-PERFORMING INVESTMENT FUNDS on the planet!
Itâs been a somewhat choppy market in 2007, but one that has trended higher overall. Buying right and selling stocks when they run into trouble wouldâve likely kept your portfolio in decent shape. Continuing to follow a proper set of trading rules remains your best course of action.
The safest place to be during a market correction is in cash and out of stocks. If you decide to hold onto a stock or two, itâs best if you take a stand with elite, institutional-quality issues. However, when a market correction lasts long enough, it can eventually take a bite out of every leading stock. Over the past three weeks, more and more top-rated stocks have fallen in sharp volume.
The marketâs correction will give many stocks a chance to digest big run-ups forged earlier this year. Keep a close eye on those stocks that set up in new price patterns or find support at key levels such as the 50-day line. Relative strength during a rough period often is a good predictor of future success for a stock when the market eventually turns for the better.
Many of these lessons CAN ONLY BE LEARNED AT Xxxxxxx Capital Training Institute! Watch and learn as our Hedge Fund Manager demonstrates "LIVE" these proven methods in our Covered Call Funds. To get "An Overview of This Website" see FREE Training Seminar 1.
Once again our Covered Call Investment Strategy reigned supreme - easily handing our members handsome 25.5% and 34.2% annual gains in our respective Classic and Pro Funds for all of 2006!
If your investment methods have left you helpless, DON'T GIVE UP! Xxxxxxx Capital Training Institute will give you what you want - to get your money back on track in a seamless and timely manner. Spend time with us and be encouraged that we know best how to grow your accounts with our Historical Averages. We have yet to see a better-performing investment fund!
We offer complete investment training direct from our Hedge Fund Manager. This unique "hands-on" training approach is designed to transform the individual investor into a seasoned professional (or at least get your returns consistent with ours) - within months! Simply go to XxxxxxxCapital.com and SUBSCRIBE to our Free Trial today.
Watch and learn how to manage out-sized returns on a consistent basis as we grow our funds at XxxxxxxCapital.com - the world's only "LIVE" covered call fund!
No URL's are posted in keeping with ET policy
Paysense
With routine precision by side-stepping the heavy losses incurred by most, once again we have preserved most all of our sizeable compounded annual gains. Where would your net worth be had you grown your funds exponential returns year-after-year? We are now looking for a the Stock Market to follow-through on a new rally with big-money institutional investors jumping in to buy shares.. No market rally has ever started without a follow-through. Just be aware that not every follow-through kick-starts a new rally.
It is imperative that you cut your losses short. Never let a stock fall much beyond your stop-loss target. At XxxxxxxCapital.com, our members are given a well-thought out, proven method for minimizing losses after ramping up heady gains. Selling quickly lets you preserve your capital for new buys. It also helps you maintain your confidence by avoiding crushing losses.
Meanwhile, DON'T IGNORE YOUR WATCHLIST. Keep your watchlist fresh to find the best opportunities for your cash. With each market follow-through to a new rally, new leaders typically emerge from consolidated bases. Delete companies that have broken down. Look for stocks with superior fundamentals that are making calmer corrections. Also remember that the next wave of market leadership may not resemble the last rallyâs. Rather than guess, wait for the leadership to develop on its own.
2006 ENDED WITH DOUBLE DIGIT GAINS FOR THE MAJOR INDEXES. Growth investors needed extreme discipline to pocket gains in â06, though. In good markets and bad, smooth markets and choppy ones, following a strict set of buy and sell rules is the best way to maximize gains and limit losses. We provide complete covered call investment training to help you get your funds back on track!
Weekly Trades
MEMBERS' ONLY CONTENT! Subscribers to our CLASSIC or PRO Services gain access to our Hedge Fund Manager's Daily Trading Journal and ALL of his trades, Model Portfolio, Trading History, Covered Call Candidates, Current Market Direction, Weekly Newsletter, TWO exhaustive series's of Training Seminars that reveal our covered call investment strategy methods - and much more!
Xxxxxxx Capital Classic Covered Call Fund
This past week, our Classic Fund stayed even with a 0.00% gain/loss. Thus far in 2007, the fund is still up 3.93%, and is currently 0% vested.
For all of 2006 our non-margin fund SWELLED 25.64%. On the year, it outperformed the Nasdaq by 15.93%, the Dow by 9.17% and the S&P 500 by 11.84!
We have called EVERY MARKET BOTTOM...within days! See our Past Performance Charts. Get in on the ground floor, since over time - we have never been outperformed!!!
Xxxxxxx Capital Pro Covered Call Fund
Our "limited"-margin fund - which closed 2006 at an ALL-TIME HIGH, rose 0.39% on the week. In 2007 the fund is now off 0.31%. Currently our premier fund is now off margin and is 6.8% vested.
Our Pro Fund again performed especially well this past year - SURGING 34.17% for all of 2006! Xxxxxxx Capital finished 2006 with our Pro Fund having outperformed the Nasdaq BY A WHOPPING 24.65%, the Dow by 17.88% and the S&P 500 by 20.55%!
2007 will likely once again afford members the opportunity to "enhance" our funds with margin-trading! NO TIME LIKE THE PRESENT to take advantage of all our Services - and reap the financial benefits of a lifetime!
Comments from the CEO
Amidst all this, Xxxxxxx Capital continues to be a shining example of how to navigate through treacherous market conditions. First off, we sell covered calls - that's all we do! By accurately moving back into stocks just days after the bottom of last year's market correction - and February's sharp decline, we've racked up heady gains with relative ease. If you have been following in step with our Hedge Fund Manager, you are now well ahead of the game. Just one look at our Performance Charts and it's easy to see why Xxxxxxx Capital Training Institute...IS HOME OF THE BEST-PERFORMING INVESTMENT FUNDS on the planet!
Itâs been a somewhat choppy market in 2007, but one that has trended higher overall. Buying right and selling stocks when they run into trouble wouldâve likely kept your portfolio in decent shape. Continuing to follow a proper set of trading rules remains your best course of action.
The safest place to be during a market correction is in cash and out of stocks. If you decide to hold onto a stock or two, itâs best if you take a stand with elite, institutional-quality issues. However, when a market correction lasts long enough, it can eventually take a bite out of every leading stock. Over the past three weeks, more and more top-rated stocks have fallen in sharp volume.
The marketâs correction will give many stocks a chance to digest big run-ups forged earlier this year. Keep a close eye on those stocks that set up in new price patterns or find support at key levels such as the 50-day line. Relative strength during a rough period often is a good predictor of future success for a stock when the market eventually turns for the better.
Many of these lessons CAN ONLY BE LEARNED AT Xxxxxxx Capital Training Institute! Watch and learn as our Hedge Fund Manager demonstrates "LIVE" these proven methods in our Covered Call Funds. To get "An Overview of This Website" see FREE Training Seminar 1.
Once again our Covered Call Investment Strategy reigned supreme - easily handing our members handsome 25.5% and 34.2% annual gains in our respective Classic and Pro Funds for all of 2006!
If your investment methods have left you helpless, DON'T GIVE UP! Xxxxxxx Capital Training Institute will give you what you want - to get your money back on track in a seamless and timely manner. Spend time with us and be encouraged that we know best how to grow your accounts with our Historical Averages. We have yet to see a better-performing investment fund!
We offer complete investment training direct from our Hedge Fund Manager. This unique "hands-on" training approach is designed to transform the individual investor into a seasoned professional (or at least get your returns consistent with ours) - within months! Simply go to XxxxxxxCapital.com and SUBSCRIBE to our Free Trial today.
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