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Strategies & Market Trends : E-Mini Pit -- Ignore unavailable to you. Want to Upgrade?

To: the-phoenix who wrote (4763)	7/27/2002 9:46:33 PM
From: the-phoenix	Respond to of 11288

Here is the Relative Strength Trade P&L for the last four weeks, using a 15 minute chart: ttrader.com (ignore the dates in the chart title - it is actually 7/1 - 7/26.) The longer timeframe is very similar to the shorter one posted last night: long periods of relative strength in one index, followed by reversals and trends in RS by the other index: very tradeable using the trendline method. Of course the timeframe captured included a remarkable period (over two weeks) of significant underperformance by the S&P in a downtrending market - something that we have not seen previously during this entire bear market. So the P&L of this particular trade (Long 4 NQ, Short 2 ES) is not something that I would expect to see repeated. But that is not the point. The point is that the relative strength trends something like 80% of the time, which the markets themselves do not do, making this perhaps a more tradeable market than the indexes themselves!