We usually include our take on the previous week in our regular newsletter, but due to the President’s Day holiday, our next newsletter won’t come out until next week. So instead, we’re sharing our summary of last week’s markets, trading systems, and CTAs right here. Enjoy!
Markets
In indices, the Dow rose 1.27% to hit a 7-month high, the S&P 500 gained 1.42% and reached a 3+ year high, the Nasdaq was up 1.31% to yet another 11+ year high, the S&P Mid-Cap 400 E-mini rose 2.15% to hit a 7-month high, and the Russel 2000 E-mini rose 1.75%. In bonds, US 10-year notes lost -0.36%, and US 30-year bonds were down -0.48%. In currencies, the US Dollar rose 0.29%, the Japanese Yen lost -2.35% to hit a 6-month low, the British Pound was up 0.65%, the Euro was down -0.10%, and the Swiss Franc fell -0.12%.
In metals, Gold was up 0.03%, Silver lost -1.15%, Copper was down -3.99%, Platinum lost -1.56%, and Palladium fell -2.13%. In energies, Crude rose 5.00%, Heating Oil was up 0.21%, RBOB Gasoline rose 1.37% to a 10+ year high, and Natural Gas gained 8.36%.
In grains, Corn gained 1.58%, Wheat was up 2.22%, and Soy gained 3.13%. In meats, Live Cattle was up 3.23%, and Live Hogs were up 2.35%. In Softs, Cocoa rose 8.51%, Orange Juice rose 1.08%, Cotton rose 2.25%, Coffee fell -6.92% to a 15-month low, and Sugar was down -0.20%.
Trading Systems
Another quiet week for day trading systems, with the lone system PSI! posting a gain on two trades to finish up $301.56. For swing trading systems, the week was not as kind. Jaws US 400 US lost -$655, MoneyBeans S lost -$572.5, Strategic ES lost -$255, and Strategic v2 SP lost -$1050. MoneyMaker ES was the lone winner, finishing the week up $472.5
Managed Futures
We’re three-fourths through February, and it’s clear this month has been kinder to some strategies than others. Agriculture programs, specialty programs, and multi-strategy programs have generally suffered, while trend followers have mostly posted gains. The 2012 bull trend has remained relatively intact, giving trend followers plenty of sustained movements to ride up. However, it’s been a mixed bag for options traders, with some posting moderate gains and a few suffering from substantial losses.