VolatilityTrader -- Thoughts on Future

Just checking with folks that are subscribed to VolatilityTrader. I’m on my second year with the system and trying to gauge if we’re heading into another one of those hellacious downturns that we’ve seen in the past (e.g. ~40% in Dec of 2018).

Would love to hear from some of the old timers at C2 and what else your trading these days. I don’t want to jump into anything right now given that a lot of these systems in last 12-18 months haven’t been through enough of down cycle to see how they perform.

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Hi Josher!

Trying to time the market is almost an impossible task (“guessing what people will do”). I see Volatility trader have had about 0% the last 2 years and his leverage has decreased the last 6 months. This is interesting as the market SPX have performed extremely well but very common for hedgefonds in booming markets. Last year 4000 hedgefonds gave up and closed down. The average return was about 8%…

A typical market crash will not happen with these macro economics we had with jobless claims and did you see the PMI and quarter earnings results we had this week? Very good.

I know many are concerned about corona virus but I think this is more traders which have gotten a reason for taking profit, China has done great work already for minimizing the spread.

People are working as never before worldwide and GDP are increasing.

I recommend picking systems which use solid underlying asset’s, don’t adjust the leverage and are not trying to time the market too much, and as a subscriber you should tolerate a 20-25% Stop loss. Also if you have an interest in hedging your position I would recommend having more cash than actually going short.

These are my words off course and there will be many who will argue against me, but have this in the back of you’re mind :slight_smile:

Looking at past history on the 10 year treasury we should have a recession around summer 2021 but

…also having an eye on the jobless claims if they are going under 0…

Lars Larsen
Shining Delta Capital