This chart shows the percentage of stocks in the S&P above their 50 day moving average.
I get interested in being long below 25, and get very interested below 13. Likewise, I get interested in being short above 75, and get very interested above 89. 89 and 13 are simply fib numbers.
Below 25, I like leveraged index ETFs and e-minis. Below 13, I look for opportunities to be in high-gamma index calls, and short puts. Above 75, I like leveraged inverse ETFs, and short e-minis. Above 89, I like high-gamma index puts, and short calls.
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