Posts Tagged ‘3D Bull and Bear’

Did you know that in the only two down years (2018 and 2022), in the last 15 years in the S&P 500, that US Bonds and Gold were also down – even if they were up – the only way to solve the problem of S&P 500 declines and make the S&P 500 a better long-term investment is with the S&P 500 itself?

Since 2008 3D Capital’s mission has been to solve the problem of S&P 500 declines. 3D Bull/Bear combines a long history of success generating two sources of alpha in the S&P 500 into one volatility data-driven Long/Short system that exists to make the S&P 500 a better long-term investment.

The euphoria surrounding President Trump’s reelection dissipated this week. This is evidenced by the markets biggest down week in 10 weeks. Even more interesting is that the S&P 500 closed this week lower than where it opened (and closed), the day President Trump won the 2024 election.

While the S&P 500 has posted 47 new all-time highs this year and finished October 2024 up +21% YTD (it’s biggest YTD gain through October in an election year since 1936), it also just posted its second consecutive down week, has been down 8 of the last 10 days (open to close), and just had its first down month in 6 months.

September is living up to its reputation of being the worst performing month of the year for the S&P 500. In the first week of September 2024, and only a 4 day week, the S&P 500 was down 4 consecutive days…

The S&P 500 just had its best week of 2024, is up +0.66% on the month, and is only 2.5% from its all-time high. As quickly as volatility spiked it has retreated and the global stock market and S&P 500 sell-off has turned into the global stock market and S&P 500 rally.

This past week the S&P 500 made a new all-time high. While that of course is something to celebrate, warning signs continue to cause concern and is why I’m sharing the following…

The last day of the month of June was a great reminder that RISK HAPPENES FAST in the S&P 500. This can be seen in the chart below where the S&P 500 was making new all-time highs (the Volatility Index (VIX) was also making new monthly lows), and then the S&P 500 declined -1.3% in six hours.

The S&P 500 is at its highest level in history and according to the Warren Buffet Indicator, it’s as overvalued as it was just months before a bear market and -27% decline. There are also signs around the globe that are warning the S&P 500 is…

The last two months in the S&P 500 have been textbook examples and reminders that RISK HAPPENS FAST (in both directions). After dropping -4% in April and having the five worst days of the year last month, the S&P 500 rebounded to new all-time highs and finished the month of May up nearly 5%…

3D Bull/Bear is a unique CTA strategy that is designed to actively manage and seek profits from S&P 500 rallies and declines. The S&P 500 exhibited low volatility and false breakouts during the first quarter of 2024…

This Tuesday (4/30/2024) was a great reminder of how actively managing S&P 500 risk in both directions can help you make the S&P 500 a better long-term investment, i.e. passive and active is better than passive alone.

The S&P 500 closed the month of March 2024 at its highest monthly closing price in history and has now rallied +29% in 5 months without pulling back by more than 2.5%.