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Mark Seleznov
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Mark Seleznov is the Chief Investment Officer of Seleznov Capital Advisors (SCA). SCA is a SEC registered investment advisory firm that performs advisory services for Mutual Funds, Trusts, 401K plans and Individuals. Mark supervises the asset allocation programs of SCA in a variety of strategic... More
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Seleznov Capital Advisors
  • Systematic Trading Plan: Current 200 Day Moving Average Signals for December 12, 2011  1 comment
    Dec 9, 2011 5:26 PM | about stocks: SPY, DIA, BKF, PKOL, EEM, XLE, EWY, HHH, INP, IWM, IYR, IYT, IYF, EWG, EWH, ILF, EWW, IJH, EFA, EEP, EWA, EWJ, EPP, FXI, IVW, IJR, SLV, EZA, EWT, EWU, OIH, PPH, RSX, SMH, XLY, XLP, GLD, XLV, XLI, RWX, XLB, XME, MDY, XHB, XLK, SLX, USO, JNK, BFK, RSP, DTN, UUP, DBC
    At Seleznov Capital Advisors we watch these key levels to see the Index breaks down or the trend continues up. You may also sign up for our Free Weekly Commentary at the top right of our home page at www.seleznovcapitaladvisors.com
    System Trader’s and Market Timing traders may use the 200 day Simple Moving Average as their trading plan. The 200 day moving average is basic technical analysis. It is a good market timing trading plan for active trading in indexes and ETF’s that have trend following characteristics. It can produce disastrous results if used for every stock index, ETF, or stock.
    Other widely followed moving averages are the 50 day moving average and the 100 day moving average. Some money managers will use these moving averages with a shorter moving average and use the cross of the shorter moving average above or below the longer moving average to generate trading signals. The Wall Street Journal displays a 65 Day Moving Average in their charts. The goal of two moving averages and even 3 moving averages is to eliminate whipsaws that often occur with moving averages as a technical analysis indicator.
     Why should you care about the signals produced with the 200 day moving average? There are so many people using the 200 day moving average, that we will often see extreme volatility in indexes when they cross both above and below the 200 day moving average. It has been reported that Endowments like Harvard and Yale use the 200 Day Moving Average in modeling their portfolios.
    The below chart shows the current 200 day simple moving average condition on over 50 most actively traded ETF’s. 
    Security Name200 day maTicker
    Barclays High Yield BondStay ShortJNK
    BRIC ISharesStay ShortBKF
    Coal Power SharesStay ShortPKOL
    DB Commodity IndexStay ShortDBC
    Diamond Trust DOWStay LongDIA
    Energy Select SPDRStay ShortXLE
    Internet HoldersStay ShortHHH
    IPath India IndexStay ShortINP
    IShare Russell 2000Stay ShortIWM
    IShares 25 IndexStay ShortFXI
    IShares AustraliaStay ShortEWA
    IShares Basic MaterialsStay ShortIYM
    IShares DJ Real EstateStay ShortIYR
    Ishares DJ TransportationStay ShortIYT
    Ishares Emerging MarketsStay ShortEEM
    IShares Financial SectorStay ShortIYF
    IShares GermanyStay ShortEWG
    IShares Hong KongStay ShortEWH
    IShares Latin AmericaStay ShortILF
    IShares MexicoStay ShortEWW
    IShares Mid Cap 400Stay ShortIJH
    IShares MSCI EAFEStay ShortEFA
    IShares MSCI JapanStay ShortEWJ
    IShares Pacific ex JapanStay ShortEPP
    IShares S&P 500 GrowthNew LongIVW
    Ishares S&P Small Cap 600Stay ShortIJR
    IShares SilverStay ShortSLV
    IShares South AfricaStay ShortEZA
    IShares South KoreaStay ShortEWY
    IShares TaiwanStay ShortEWT
    IShares United KingdomStay ShortEWU
    NDX 100New LongQQQ.O
    Oil Service HoldersStay ShortOIH
    Pharmaceutical HoldersStay LongPPH
    PowerShares US Dollar IndexStay LongUUP
    RussiaStay ShortRSX
    RYDEX S&P 500 Equal WeightStay ShortRSP
    S&P 500Stay ShortSPY
    Semiconductor HoldersStay ShortSMH
    SPDR Consumer DescretionaryStay LongXLY
    SPDR Consumer StaplesStay LongXLP
    SPDR Gold SharesStay LongGLD
    SPDR HealthcareNew LongXLV
    SPDR Industrial SectorStay ShortXLI
    SPDR International Real EstateStay ShortRWX
    SPDR MaterialsStay ShortXLB
    SPDR Metal & MiningStay ShortXME
    SPDR Mid CapStay ShortMDY
    SPDR S&P HomebuildersNew LongXHB
    SPDR TechnologyStay LongXLK
    Steel Market VectorStay ShortSLX
    US OilStay LongUSO
    Wisdom Tree Total DividendNew LongDTD
     
    You should not trade any system trading plan without proper back testing and analysis of the trading characteristics of the index, stock or ETF you are trading. 
    These trading signals are provided courtesy of the website you are viewing. This information should not be used without research and advice from a financial professional.
    Be aware that this condition can and will change any day in the future.
    We monitor the 200 day moving average daily along with a number of other system trading plans.
    There is No “Holy Grail” in trading systems. Do not use the 200 day SMA or any other system trading system without proper research on the asset.
    For questions on rule based, system trading, contact
    mark@seleznovcapitaladvisors.com
     
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    great
    10 Jan 2013, 08:05 PM Reply Like
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