101 trades were generated in 2017-20
97 of them were profitable
March 2019: Market at the resistance
Chart 1: Options Signals entry and exit points in March of 2019
The market had mild correction in March of 2019 and market indexes (S&P 500 and Nasdaq 100) continued fluctuating around the resistance level previously set in October-December of 2018. The volatility was elevated and options trading was under higher risk.
In 2018, the market indexes reversed down three times from the current resistance level. In addition Advance-Decline (Breadth) indicators were generating mixed signals suggesting highly weak and overbought condition. Our trading system stayed in cash during this month to avoid high risk trades.