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Kevin John Bradford Wilbur is the President and Founder of ProtectVEST and AdvanceVEST By EchoVectorVEST. He is also the Chief Architect of the Motion Dynamics and Precision Pivots Forecast Model and Alert Paradigm, and the Senior Developer of the ProtectVEST and AdvanceVEST Active Advanced Risk... More
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ProtectVEST and AdvanceVEST by EchovectorVEST, MDPP
  • Advanced Price Level Straddling Strategy For The Current FEDSpeak And ECBSpeak Market Environment 0 comments
    Jul 26, 2012 8:11 PM | about stocks: IWM, QQQ, DIA, SPY

    Jul 26, 2012 4:25 PM | about stocks: IWM, QQQ, DIA, SPY

    THURSDAY, JULY 26, 2012

    • STOCK MARKET ALERT, COMMENTARY, AND STRATEGY
      Jul 26, 2012 3:42 PM | about stocks: IWM, QQQ, DIA, SPY

      THURSDAY, JULY 26, 2012

      STOCK MARKET ALERT, COMMENTARY, AND STRATEGY

      http://echovectorvest.blogspot.com/2012/07/commentary-american-and-european.html

      Posted by EchoVectorVEST at 12:38 PM Thursday

      The American and European Central Banks are fully aware of the extraordinarily heavy vector price weights of this week and next week (on an AEV basis, Active Annual Market Price Level Echovector basis) within the global equities markets. The Central Banks also recognize the strong significance of the underlying pivot potentials in the AEV and the subsequent positive effect on following price level vectors if their efforts at stimulus during these important two weeks are effective.

      Stimulus on underlying price vectors within the market this week could not be better timed by the key Central Banks. Even stimulus (encouragement) coming simply in the form of strong interventionist yet believable "talking points" issued by the key Central Banks, globally.

      Tuesday's talking point 'save' by the FED and today's talking point stimulus by the ECB are providing the coordinated Central Bank price support level lift so well-timed by the Centra; banks' recognitions of the active underlying price level echovectors at work in the market.

      A key Central Bank efforted pivot in the markets, on an AEV basis is in the works, if the Central banks can maintain this effective price level stimulus condition through the significant down-pressure AEV echovector period also approaching next week.

      Central Bank stimulus, successfully 'cabling' Price Support on the AEV this week and next within current Central Bank targeted upper price level bands (price level bridges) can have a strong effect on both the PCEV (Active Presidential Cycle Market Price Level EchoVector) and the RCCEV (Active Regime Change Cycle Market Price Level EchoVector).

      Effective Price Support stimulus this week sets up more positively oriented endogenous price echovector induced follow through by the markets for more positive market AEV echoprice action going forward, ceteris paribus.

      "In this market environment and climate, we suggest the employment of active and adjustable echovector based bridge straddling position's to manage general stock market portfolio value exposure to general market price level value adjustments and actions. Setting ECHOVECTORVEST MDPP designed OTAPS* straddles at these key bridge levels (their relevant echovector price levels and their coordinate echovector time-points and time-periods) is an effective advanced management approach to protecting and advancing general portfolio value within the context of an actively volatile and dynamic market environment and set of conditions.

      Such a position management approach is particularly well-tailored to, and could prove very valuable, in engaging and effectively managing these market situations going forward into the Presidential Election, regardless of what THE FED and other pertinent Central Banks may or may not elect to say or do...

      One way to employ such a straddle would be to utilize the SPYETF and/or the DIA ETF. By setting up an advanced trade technology "On-Off-Though Target Price Switch" at (EG.) $133 on the SPY or at $125.5 on the DIA, with appropriate dynamic triggers and stops included, such a straddle can be employed.

      To perform the short side of the straddle, set a short trigger below either of these mentioned target price switch levels (EG. $133 on the SPY and/or at $125.5 on the DIA) pre-program as a 'repeating short trigger switch' at the trigger level on reverse down-tick action through the trigger price with stops set to activate on reverse uptick up-through action.

      To perform the long side of the straddle, set a long trigger above either of these the target price switch levels ($133 on the SPY and/or at $125.5 on the DIA) pre-program as a 'repeating long trigger switch' at the trigger level on reverse uptick action through the trigger with stops set to activate on reverse down-tick down-through action.

      Now may be a very good time to employ this general market straddle, and this more advanced trade technology and active position management methodology, especially when reviewing the chart of the S&P500 over the past 4 years within this current Presidential Cycle."

      For charts, see:
      http://seekingalpha.com/author/kevin-wilbur/articles
      and
      http://seekingalpha.com/author/kevin-wilbur/instablog/full_index
      and
      http://echovectorvest.blogspot.com
      and scroll below.
      *OTAPS. See: http://echovectorvest.blogspot.com/2012/05/on-off-through-vector-target.html and/ or scroll below."

      ___________________________________________________________

      SEE:
      http://echovectorvest.blogspot.com/2012/07/dia-etf-127.html

      Posted by EchoVectorVEST at 9:09 AM Thursday

      This is a critical support juncture level, and day, for successful FED-ECB management of global equities price support, see DIA ETF Price equivalency basis and the WEV and AEV intersects.

      This will relate to PCEV and RCCEV forward as well.

      Potential Key Pivot in works on 2EV AND 3QEV basis at DIA ETF PEB 127.75 AT THIS TIMEPOINT.

      See WEV and AEV perspectives.

      ____________________________________________________________

      SEE:
      http://echovectorvest.blogspot.com/2012/07/dia-etf-127_26.html

      Posted by EchoVectorVEST at 10:39 AM Thursday

      DIA ETF 127.75 HOLDING:

      CBM PSLM EFFECTIVE. Coordinated CB SPTTWM EFFECTIVE

      From FED and ECB TPS and TPL interventions this week.

      From the ECHOVECTORVEST MDPP Trademark Terminology Matrix

      CB: Central Bank
      CBM: Central Bank Management

      PLM Price Level Management
      PSLM Price Support Level Management
      SPLM Support Price Level Management
      KTSPLM Key Target Support Price Level Management
      SPTTWM Support Price Target Time Weighted Management

      FED Federal Reserve
      ECB European Central Bank

      TPE Talking Point Effect
      TPL Talking Point Lift
      TPS Talking Point Support

      APE Action Point Effect
      APL Action Point Lift
      APS Action Point Support

      ___________________________________________________________

      SEE:
      http://echovectorvest.blogspot.com/2012/07/chart-s-and-dont-fight-fed-following-is.html

      Posted by EchoVectorVEST at 12:38 PM Wednesday

      ARTICLE: WEDNESDAY, JULY 25, 2012

      Chart: The S&P And 'Don't Fight The FED'

      Following is a financial physics analysis and interpretation of The Federal Reserve's (THE FED's) current position on the equity market's price level, on how this analysis might interpret the FED'S actions going forward, and on how to understand and position now for this possibility (but not certain) FED action in this Presidential Election Year.

      At the close of last Thursday's market, CNBC reported an unusual phenomena, a series of 'time-weighted programs' entering the market. The reporter was able to report the phenomena, but was unable to provide any real interpretation of it

      Now, consider the following analog from physics often utilized in financial physics:

      "A market vector price support level bridge, which enables 'the passage of a heavy time-weighted week or period of weeks to cross it, without incurring 'bridge support level breakthrough'. And additionally 'cabling' the bridge for the periods of heavy load in a dynamic system."

      Current vector price level bridges have already been built by THE FED and are in place and in force... and most market technical analysts often refer to them as 'support.'

      Within my model, which incorporates both economic calendar and political economic calendar cycles and variables, several significant bridges are the Active 2-Year Congressional Price Support Vector Bridge (2-year cycle, CCEV) the Active Annual Price Support Vector Bridge (AEV), the Bi-Annual Price Support Vector Bridge (2QEV), and the Quarterly Price Support Vector Bridge (QEV). These active bridges can be readily determined, even to the day.

      (For examples, see my SA article, "Chart: The S&P And Should I still Stay Away If I sold In May", and my current SA Instablog posts on the SPY and the DIA.)

      THE FED also monitors the Monthly Price Support Vector Bridge (MEV), which is also of particular significance to the active trader, within the EVV MDPP Model.

      Also significant to the active trader is the active Weekly Price Support Vector and Bridge, the Daily Price Support Vector and Bridge, and the Morning Block and Afternoon Block Price Support Vectors and Bridges (which are often impacted and sometimes even formed by The Asian Market's and The European Market's open, trading high, trading low, and closing price.

      How the market 'carries' various 'heavy-weighted weeks' across these support price bridges,' at key times in the calendar, and how these bridges 'hold up' under these 'loads' is of fundamental price support level interest, and its management, to THE FED.

      THE FED is utilizing the wealth effect in its overall attempt to 'print and distribute' anti-deflationary 'paper value' and its hopefully stimulating effects across the economy.

      In th administration of this goal, and this financial physics at work, maintaining certain general equity market price support level 'bridge heights' are very important to THE FED.

      So, occasional THE FED releases certain bridge 'cabling' announcements and acts (extra-cable strengths) in support of certain price bridge levels during certain load-challenging periods, or in the case of Tuesday afternoon, moments of heavy-weighted two-week load (see the AEV bridge) that appeared to be having trouble traversing the important current supporting bridge price level, and appeared to be breaking through (also see the MEV).

      Breakthrough's can cascade to lower bridge levels, and further negatively pivoting and down-pressuring price momentum, which can be even further precarious to additional oncoming heavy load periods...

      THE FED faces one of these on the significant Presidential Cycle Echovector (PCEV) in September and October of this year.

      As mentioned, last Thursday CNBC reported the unusual process the last hour of trading, that significant 'time-weighted programs' entered the market.,The market then lost 3 percent in the following two trading sessions. And yesterday, Tuesday, the market challenged and revisited these low levels, sinking even further, and then positioned itself on a 'cliffhanger' going into the last hour of trading on the key monthly echovector bridge price support (MEV)...

      Then, yesterday THE WSJ 'published' a major 'cable' by THE FED during the last 1/2 hour of regular market open trading, to help prop up the market.

      THE FED surely is monitoring all relevant echovector price support bridges.

      In its administrative market calculus this is surely one of the reasons why August 1 and September are so important to THE FED, and to its perceived resource pool of actions, what the market often refers to as THE FED'S 'effective powder'.

      Many time-weighting price vector analyst hold that THE FED would rather not 'spend' its powder now, on the AEV (Annual EchoVector)and these forward 'heavy weighted' two weeks, on and into the market just yet, especially if THE FED doesn't have to. This preference exists because of the big September PCEV heavy-weight THE FED faces, and the amount of powder they have left, and the decreasing effect of powders use. On the 'other hand,' THE FED will 'intervene' if it has to, and if the market becomes weak enough to 'cliff' the big problem, and it did yesterday...

      THE FED is using the wealth-effect stimulus as part of its 'printing press' activities to keep things afloat, and THE FED would also like to stay in the 'talk it up' (or keep it from falling) modality, if it can, and 'talk' works (cables) well enough.

      'Talk' is less expensive than actions.

      THE FED would also prefer to continue trying to stimulate Congress to get into the 'stimulating ring' with it, with fiscal stimulus too.

      'Acting' also runs contrary to the FEDS usual 'relative quietness and impartiality and inaction' leading into Presidential Elections, a position it tried to (unsuccessfully) set up last year and earlier this year...

      'Quiet,' however, is now long gone...

      And the market now seems on the precipice of FED action.

      Below are charts of the SPX highlighting all these key Price Support Vector Bridges converging this week which THE FED is weighting. This week's active PCEV, Presidential Cycle Echovector bridge, is highlighted in white. The CCEV, Congressional Cycle Echovector bridge, is in yellow. The AEV, Annual Cycle Echovector bridge, is in red. The 2QEV,Bi-quarterly Cycle Echovector bridge, is in grey. And the QEV,Quarterly Cycle Echovector bridge, is in peach.

      S&P500, SPX 5-YEAR WEEKLY OHLC

      (click to enlarge)

      S&P500, SPX 15-MONTH WEEKLY OHLC

      (click to enlarge)

      So, many analyst are now confronted with the selection between two powerful and competing Wall Street maxims: 'Sell In May And Go Away' (and staying away), or 'Don't Fight The FED.' Analysts are wrestling this week with which of these two maxims should rule the day, and with which of these two maxims should rule these next two weeks and next two months in the stock market. And they are also wrestling with how to approach positioning in the market, if they choose to do so.

      (Staying nimble, also seems to be the rule of the day.)

      In this market environment and climate, we suggest the employment of active and adjustable echovector bridge-based straddling position's to manage positions. Setting straddles at these bridge levels on their relevant time-basis

      Such an approach is particularly well tailored to, and could prove very valuable, in engaging and effectively managing these market situations going forward into the Presidential Election, regardless of what THE FED may or may not say or do...

      One way to employ such a straddle would be to utilize the SPY ETF and/or the DIA ETF. By setting up an advanced trade technology "On-Off-Though Target Price Switch" at (EG.) $133 on the SPY or at $125.5 on the DIA, with appropriate dynamic triggers and stops included, such a straddle can be employed.

      To perform the short side of the straddle, set a short trigger below either of these mentioned target price switch levels (EG. $133 on the SPY and/or at $125.5 on the DIA) pre-program as a 'repeating short trigger switch' at the trigger level on reverse down-tick action through the trigger price with stops set to activate on reverse uptick up-through action.

      To perform the long side of the straddle, set a long trigger above either of these the target price switch levels ($133 on the SPY and/or at $125.5 on the DIA) pre-program as a 'repeating long trigger switch' at the trigger level on reverse uptick action through the trigger with stops set to activate on reverse down-tick down-through action.

      Now may be a very good time to employ this general market straddle, and this more advanced trade technology and active position management methodology, especially when reviewing at the chart of the S&P500 over the past 4 years within this current Presidential Cycle.

      Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

      This article is tagged with:

      Market Outlook

      Posted by EchoVectorVEST at 12:38 PM

      Email ThisBlogThis!Share to TwitterShare to Facebook

      _________________________________________________________

      SEE:

      http://echovectorvest.blogspot.com/2012/07/blog-post_8852.html

      Posted by EchoVectorVEST at 12:56 PM Tuesday

      TUESDAY, JULY 24, 2012

      FED ACTION ALERT COVER ALL LARGE CAP EQUITY INDEX AND ETF BASED SHORTS: EMPLOY OTAPS FNP INSURANCE AND FNP DOUBLE PRICE STRADDLE AT DIA PEB $126.

      Posted by EchoVectorVEST at 12:56 PM
      Email ThisBlogThis!Share to TwitterShare to Facebook

      _________________________________________________________

      See:

      http://echovectorvest.blogspot.com/2012/07/blog-post_6781.html

      Posted by EchoVectorVEST at 6:59 AM Monday

      MONDAY, JULY 23, 2012

      DIA OTAPS: DIA ETF ALERT: Cover FNPDS at 125.50, and Switch to FNPDL, utilizing OTAPS

      Posted by EchoVectorVEST at 6:59 AM
      Email ThisBlogThis!Share to TwitterShare to Facebook

      _________________________________________________________

      SEE:

      http://echovectorvest.blogspot.com/2012/05/on-off-through-vector-target.html

      THURSDAY, MAY 17, 2012

      On-Off-Through Vector Target Application Price Switch

      Active Advance Management Position Value Optimization Methodology and Active Advance Management Trade Technology

      ProtectVEST and AdvanceVEST by EchoVectorVEST, MDPP, Introduces the

      On-Off-Through Vector Target Application Price Switch

      A Recursive 3-Legged Conditional Branched Chain Stop-Specific Trade Trigger Position Management Order Utility Program and Platform for Advanced Applications of:

      FNPI Full Net Portfolio Insurance
      FNPL Full Net Portfolio Long
      FNPS Full Net Portfolio Short
      FNPDL Full Net Portfolio Double Long
      FNPDS Full Net Portfolio Double Short

      FNPositionI Full Net Position Insurance
      FNPositionL Full Net Position Long
      FNPositionS Full Net Position Short
      FNPositionDL Full Net Position Double Long
      FNPositionDS Full Net Position Double Short

      FNVI Full Net Vehicle (Price Level) Insurance
      FNVL Full Net Vehicle Long
      FNVS Full Net Vehicle Short
      FNVDL Full Net Vehicle Double Long
      FNVDS Full Net Vehicle Double Short

      OOTVTAPS: On-Off-Through Vector Target Application Price Switch: ootv or otaps (for short)

      Posted by EchoVectorVEST at 8:12 PM
      Email ThisBlogThis!Share to TwitterShare to Facebook

      _________________________________________________________

      See:

      http://echovectorvest.blogspot.com/2012/07/major-large-cap-equity-value-up-over-64.html

      Posted by EchoVectorVEST at 6:02 PM Monday

      Email ThisBlogThis!Share to TwitterShare to Facebook

      MONDAY, JULY 23, 2012

      ECHOVECTORVEST MDPP Model's Major ALERTS And Position Polarity Adjustment Results Since Late April's Major Seasonal ALERT: Major Large Cap Equity Value UP Over 70%

      Major Large Cap Equity Value UP Over 70%
      On The 10 Primary EchoVectorVEST MDPP Model
      Position Polarity ALERT Adjustments
      Issued Since Late April 2012

      $DJI and DIA ETF Price Equivalency Basis
      _______________________________________________________________

      i, I Full Net Position Insurance
      s, S Full Net Position Short
      l, L Full Net Position Long
      ds, DS Full Net Position Double Short
      dl, DL Full Net Position Double Long

      DD Full Net Position Double Double (using Double ETFs and 100% Margin)

      (The more aggressive position managers may use the double double strategy.)
      ________________________________________________________________

      MDPP
      PRIMARY ADJUSTMENT ALERTS (POSITION POLARITY CHANGES, PIVOTS)
      WTH RESPECTIVE PRICE LEVELS
      AND CAPITAL GAIN CAPTURES

      LATE APRIL TO MID-JULY ALERTS AND RESULTS

      1. Late April DIA $132, Full Insurance Application open and Double-Short Application open.

      2. To Late May DIA $124, DS close.

      i + 8
      s + 8
      ds +16
      DDS + 32

      3. To Early June DIA $121, insurance close and DL open

      i +3

      4. To Mid-June DIA $128, DL close and insurance open and DS open

      l + 7
      dl +14
      DDL +28

      5. To 3RD Week of June DIA $124.5, insurance close and DS close and DL open

      i + 3.5
      s + 3.5
      ds + 7
      DDS +14

      6. To Early July DIA $129, insurance open and DL close and DS open

      l + 8
      dl +16
      DDL +32

      7. To DIA $125, insurance close and DS close and DL open

      i + 4
      s + 4
      ds + 8
      DDL +16

      8. To DIA $128, DL close and insurance open and DS open..

      l + 3
      dl + 6
      DDL +12

      9. To DIA $125.50, insurance close and DS close and DL open

      i + 2.5
      s + 2.5
      ds + 5
      DDS +10

      10. To DIA $126.70, DL close and insurance open and DS open

      l + 1.7

      MODEL AND APPROACH GAINS AND COMPARISONS

      UP $94.70 Net Total Capital Gain Capture Differential, DIA Price Equivalency Basis

      UP 71.72% on ECHOVECTORVEST MDPP Active Advanced Management 8 Adjustment MODEL

      DOWN $5.30 on Passive Management 0 Adjustment MODEL

      DOWN 4.02% on Passive Management 0 Adjustment MODEL

      Posted by EchoVectorVEST at 6:02 PM

      Email ThisBlogThis!Share to TwitterShare to Facebook

      _________________________________________________________

      FOR TODAY'S KEY CHARTS AND ANALYSIS, SEE:

      EchoVectorVEST MDPP

      AND,

      http://seekingalpha.com/author/kevin-wilbur/instablog/full_index

      ________________________________________________________

      PROTECTVEST AND ADVANCEVEST BY ECHOVECTORVEST MDPP

      "We're keeping watch for you."

      ________________________________________________________

      www.echovectorvest.com/services.html

      www.echovectorvest.com/GOLD.html

      www.echovectorvest.com/THE-USO.html

      www.echovectorvest.com/DIA.html

      www.echovectorvest.com/about.html

      www.echovectorvest.com/untitled1.html

      www.echovectorvest.com/testimonials.html

      www.echovectorvest.com/Trademark-Terminology.html

      www.echovectorvest.blogspot.com/2012/05/on-off-through-vector-target.html

      www.echovectorvest.blogspot.com/2012/05/protectvest-advanced-management_17.html

      www.echovectorvest.blogspot.com/2012/02/high-frequency-trading-demonstration-is.html

      COPY AND PASTE THE LINKS ABOVE INTO YOUR BOWSER'S ADDRESS BAR FOR SUCCESSFUL AND UNIMPEDED NAVIGATION DIRECTLY TO WEBPAGES.

      Posted by EchoVectorVEST

      _________________________________________________________

      Chart illustrations Utilize the Following Terminological References

      From the EchoVectorVEST 'TradeMark Terminology Matrix' and Reference Guide:

      See: http://echovectorvest.com/Trademark-Terminology.html

      EV Echovector, EchoVector

      ED EchoDate

      ETP EchoTimePoint

      FEV Forecast EchoVector

      KFED Key Forecast EchoDate

      FETP Forecast (Forward) EchoTimepoint

      KFETP Key Forecast EchoTimePoint

      EBD EchoBackDate

      EBTP EchoBackTimePoint

      KEBD Key EchoBackDate

      KEBTP Key EchoBackTimePoint

      ASEV Asian Session EchoVector (Shanghai Index Centric)

      ESEV European Session EchoVector (Continent Centric)

      DEV Daily EchoVector

      24HEV 24Hour EchoVector

      2DEV 2Day EchoVector

      48HEV 48Hour EchoVector

      WEV Weekly EchoVector

      2WEV Bi-Weekly EchoVector

      MEV Monthly EchoVector

      2MEV Bi-monthly EchoVector

      QEV Quarterly EchoVector

      2QEV 6-Month EchoVector, 2 Quarters

      3QEV 6- Month EchoVector, 3 Quarters

      4QEV 12-Month EchoVector, 4 Quarters, Annual

      AEV 12-Month EchoVector, Yearly

      6QEV 18-Month EchoVector

      1.5AEV 18-Month EchoVector

      2AEV 2-Year EchoVector

      CCEV Congressional Cycle EchoVector

      4AEV 4-Year EchoVector

      PCEV Presidential Cycle EchoVector

      8AEV 8-Year EchoVector

      RCCEV Regime Change Cycle EchoVector (4 or 8 Years)

      5AEV 5-Year EchoVector

      FRCEV Federal Reserve EchoVector, 5-Year

      10AEV 10-Year, One Decade, EchoVector

      What is ECHOVECTORVEST MDPP?

      ________________________________________________________

      BLOG ARCHIVE


       ABOUT US
      EchoVectorVEST

      SEE: echovectorvest.com/untitled1.html

      Providing Forecasting and Trade Management Technology, Analysis, and Education Consistent With Doubling the Portfolio Position Value of The DIA ETF (Dow 30 Industrials) From Mid 2007 to 2011!

      Then More Than Doubling Again in 2011!

      And Then More Than Doubling Again in the First Half of 2012!

      ProtectVEST by EchoVectorVEST, MDPP

      View our complete profile

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