Leveraged ETNs SMHD 5.9.17

In this series, we continue to identify quality trading candidates and fine-tune our strategies with Leveraged ETNs in file C C1. 

The goal for EOM members; see how quick trading profits cover EOM education costs.  Then maximize dollars in additional profits, each and every month.  Yes, we look at trading as a business around here.

Today, we again focus on SMHD,
also on our All-Star watch list.  SMHD made the best performing leveraged ETN list for 2016. 

Key Points on SMHD…

1.   Not trading in correlation to the SPX

2.    Monthly dividend is speratice due to the quarterly dividend payment of          its holdings

3.    Previous pullbacks were 17%. 18% and 14%

4.    Previous rally was 79% and current rally is/was 41%

5.    Looks like some profit taking is going on now

Action Points…

1.  Price closes under the 6 SMA-there now
2.  CMF crosses under zero-there now
3.  MACD Histogram crosses back under zero-it is there now
4.  RSI closes under 30
5.  Slow Stochastics crosses under 20 
6.  Previous pullbacks were signaled with red Elder Impulse bars
7.  A 20% pullback would be in the $19.50 area

The new money flow indicator MFI has been added.  Compare it to the CMF to see which one the Institutions are using.

I highlighted (red areas) the indicator levels when SMHD made previous runs. The institutions will have their alerts set for a duplicate scenario.  I plan to do the same.

When we receive a Simple Simon Buy Signal, go to the daily chart and confirm another SS Buy Signal before trading.

     Enjoy your day!

     David O. England 

Plan your work, work your plan, and share your harvest! 1 Timothy 2:1-2

This information is for Educational purposes only. It shall in no event be construed or interpreted as an offer or recommendation to buy or sell securities of any kind.

DAVID O. ENGLAND is the founder of the Eye on the Market-Training Academy and Associate Professor Emeritus of Finance. This column is presented for educational purposes only and not intended as financial advice.

If you have a question or comment, contact David England at

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