31 January 2018: TDG’s State of the Union

“It’s been two years since we started this wonderful journey. We have gone forward with a vision and a righteous mission. To make investing great again, for all people in the world. And let’s start by recognizing that the results of our investment models look strong. All of them were able to record a positive return since their establishment. And, of course, there have been ups and —certainly— downs, especially for the reckless Danny Daredevil. But circumstances have been unusual, with this great lack of volatility in the previous period. Our duty is to hang on to our strategies and to strive for investment results that approximate historical outcomes. It is the investors who dream of great results, it is the investors who want to build a solid fortune and it is the investors who make investing great again.”

white-chapel-logo-smallThe Dow fell sharply, adding to its losses to start the week. It marked its two worst back-to-back sessions in about 16 months. The Dow closed 1.37% lower. The S&P 500 lost 1.09% , while the NASDAQ gave up 0.86%. Volatility was still on the rise. The VIX rose almost 7%. UVXY ETFs copied that and closed more than 6.5% higher. XIV ETNs lost more than 2.5%.
Danny Daredevil was once again the winner among our models yesterday, as he was the only one who was holding UVXY ETFs yesterday. His RSS rose to 20%. Adventurous Anny´s RSS remained unchanged at 23%, as she was still holding a cash position yesterday. Solid Suzy and Lazy Larry had to take another step back. Their RSS dropped below 90%. Their average annual return is now standing at exactly 100%.

Model Holds Start date

RSS

YTD

QTD

AAR

Danny Daredevil XIV 1 January 2016

20.17%

17.83%

17.83%

9%

Adventurous Anny XIV 6 March 2017

22.91%

0.00%

0.00%

26%

Solid Suzy XIV 6 March 2017

87.31%

-7.10%

-7.10%

100%

Lazy Larry
XIV 6 March 2017

87.31%

-7.10%

-7.10%

100%

RSS = Return Since Start | YTD = Year-To-Date | QTD = Quarter-To-Date | AAR = Average Annual Return

 

Two of our models gave a trading signal at the end of yesterday’s session: Danny Daredevil and Adventurous Anny. Danny switched from UVXY ETFs to XIV ETNs and Anny traded her cash for XIV ETNs at the opening of today’s session.
N.B. Traders in Europe: please take note of the fact that buying (not selling) UVXY ETFs and XIV ETNs may be temporarily impossible in your country due to MiFID II regulations that are in effect since 1 January. For more information on this subject, please read our blog posts of 4 January and 5 January and/or consult your broker.

RS_v05-small

Trees in cities (V)

You can search the net for another image like this, containing no more than one street light, two airplanes, three topped pollard willows, and a rooftop. But These Dutch Guys reassure you: you will have a pretty hard time finding it. Okay, instead of two airplanes, one airplane and one meteor also counts. After all, we have to admit that we’re not even sure whether or not the thick white contrail coming down from the upper left corner of the frame, was indeed an airplane.