We just opened a new position this week with room to run and have 2 more trades we plan to execute over the next 2 weeks. Become a GOLD member and enjoy these potential winning trades and free research for 2 weeks with no gimmicks at zero cost to you. A membership that has the ability to to pay for itself. Below you will find some of the strategies we use in our analysis.
General Market Snap shot
Stocks -The FED has stated it intends to keep interest near zero into 2022. This is highly bullish for stocks. A correction has started and should be a minor profit taking event. We expect higher prices into summer . We will be trading the wild swings in various asset classes. We have a share market low date targeted for July , before a rally commences. Subscribe to know more.
Precious metals and miners- A large correction is coming in the metals complex. Are you prepared ?
Crude- is likely to stay range bound near term, $34-$47. We will harvest profits in this trading range.
Natural gas- is setting up a strong rally into summer.
Bitcoin- A major buying opportunity is about to occur. We will alert our members when we feel a low has been struck. We have a cycle low target date coming very soon, reserved for members.
Volatility- should remain slightly elevated into the coming weeks with a spike top sometime in July.
We outline a strategy employed by Hedge Fund Z below for investors:
I. Research Our research investigates and determines the most impactful market signals to our investments. From global macro trends to inter-market patterns and relationships, we scour the financial landscape to attain every last piece of information relevant to our investments. Many of the details of our research will remain undisclosed to the general public, but are accessible to our clients within our educational material. II. Analysis Our analysts constantly evaluate investment ideas, monitor ongoing positions, generate financial models, and harness our various databases to offer an informed, meaningful advisory on all active operations. III. Artificial Intelligence The A.I. algorithm we use supplies critical information in determining trade timing and execution. It is by far our most powerful tool. However, there is no single algorithm which can be created to predict every turn in the various markets we trade. To do such would require total isolation of data which does not exist, everything is connected. There are unexpected external events which can occur and create a panic in a market. IV. Portfolio Construction One to five positions will typically be held at any given time, lasting from one week to three months, diversified amongst the equity, commodity, and cryptocurrency markets. Positions will often be hedged to mitigate risk. V. Risk Management Our risk management approach continuously employs monitoring and benchmark technology to accurately evaluate risk and determine:
Balance sheet and leverage
VI. Capital Allocation
A controlled and systematic approach governs the framework for our capital deployment. These principles are documented and communicated through our Money Management Guide.
ETF’s reflecting the United States Stock Market’s major indexes: the Dow Jones Industrial Average, S&P 500, and Nasdaq comprise our equity investments. Owning individual stocks on a long term basis is fine, but with trading over shorter periods of time we prefer to take binary risk out of the equation and stay with ETF's, avoiding individual companies. This way any significant bad news on a individual stock can't hurt us. By trading individual names on a short term basis you need to be right twice. Once with the overall market direction and second avoiding any individual risk. We occasionally will break this rule for the correct risk reward scenario.
Over the past two decades, we’ve identified exceptional opportunities in the commodities markets, and will continue to frequently trade gold, silver, and oil.
Investments in volatility and the volatility risk premium provide a suitable hedge for equity strategies as well as outright standalone strategies.
We capture large trending moves in the cryptocurrency markets primarily through Bitcoin.
XI. Investment Vehicles
Exchange-traded funds (ETF's): As the United States stock indexes and precious metals are not individual companies, ETF’s reflect the movements of our traded markets. The following is a list of ETF’s we have utilized since their inception and will continue to trade:
DIA (SPDR Dow Jones Industrial Average ETF)
SPY (SPDR S&P 500 ETF Trust)
QQQ (PowerShares QQQ Trust)
GLD (SPDR Gold Trust)
GDX (VanEck Vectors Gold Miners ETF)
SLV (iShares Silver Trust)
VXX (VIX Volatility Index)
USO (United States Oil Fund)
UNG (Natural Gas Fund)
HYG (High Yield Corporate Bond Fund)
TLT (20+ Year Treasury Bond ETF)
BTC/GBTC (Grayscale Bitcoin Trust)
Options: Options occasionally comprise some of our preferred trading strategies.
***We do not follow, trade, or recommend penny stocks or speculative thinly traded stocks.
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Long trending trades will be difficult to find but we have three of them in our trading queue in different asset classes, ready to be executed over the coming weeks. We have executed two new positions in $10-12 large cap names, which we see advancing into July and August. Sign up for a free trial to find out more.