At the moment, with over 20 minutes left, it's a buy, actually on evo and compression. It doesn't match up with what I was personally expecting, but when that affects me, it's always for the worse.
So I think the most likely scenario is an open UP, and shortly after (30 minutes?) it will start to move down.
I can't go as far as to call this a high confidence call, since I wasn't expecting it, but I'll go with a medium confidence. When Evo and Compression matches, it was only wrong once, I forgot how many times it was right. Probably at least 10.
The lines are pretty close on compression, but the distance usually doesn't seem to mean anything.
If we do indeed get the open up, watch for a quick turnaround (30 minutes in?)
Also I think this time, there could be a pretty sizable drop lasting until Monday.
If you are wondering, I ended up with a small long position. Don't consider me an expert though, really I'm just like you guys! But honestly, does being an "expert" really make you an expert? I'm pretty sure it doesn't.
If you want my credentials, I started an account sept 7 and it has made about 200% returns (tripled) and the other account was started sept 22 and has more than doubled.
I played this a little differently. SPY was up in compression, questionable in EvoSys, and I like to find situations where both are strongly in agreement. This i did with a call on tomorrow's opening for AAP. Good luck to us both.
ReplyDeleteIs this method of playing the open focused on one stock or are you guys playing this on all potential stocks that agree on the EvoSys and the Compression going into the open?
ReplyDeleteI've been curious if this was possible on all potential stocks
Joe started this using SPY or SPX. I have used it for a couple of other stocks when SPX/SPY is not clear enough for me. It seems to work for other stocks too.
ReplyDeleteThanks Guy. Do you both find the 30 minute chart on the EvoSys and Compression is best for this method also?
ReplyDeleteI use the 30 minute chart that Joe describes here: http://theevolutionsystem.blogspot.com/2016/10/something-extra-for-your-compression.html and EvoSys. I peek at compression but do not give it much weight.
ReplyDeleteIt probably works for other stocks but less reliably, but hits might make you more money.
ReplyDeleteSo if single stocks, I think be more conservative, and do more different stocks,
Looks like we nailed this one. Get ready for that turnaround. The fact that without this signal, I would have gone opposite, was the proof that it was going to be a true signal!
ReplyDelete