In lieu of our newsletter which did not run yesterday due to President’s day we are posting our normal week in review on the blog. Also – we are thinking of making this a permanent feature of the blog, so please feel free to give us your feedback and let us know what you think.
Market activity last week was again mostly higher as participants continued to remain fixated on another bevy of constructive economic reports, strong earnings and a flurry of M&A activity. The growth and inflationary mantra was also seen in the emerging market arena as well, although geopolitical unrest in the Middle East and the upcoming Presidents Day weekend held volume in check. Silver +7.55%, hitting a new 31-year high, led the metals complex with Cotton +5.05% leading the soft and food sector again attaining a new all-time high this week. Other news worthy action had RBOB Gasoline +2.87% leading the rally in energies, Swiss Franc +2.90% led the continentals higher versus the U.S. Dollar and the Stock Index sector ended higher across the board achieving new 2+ year highs and a third consecutive week of higher closes with Russell 2000 Futures +1.64% posting the best appreciation for the week. A few weak areas were also seen with Wheat -4.26%, Soybeans -3.34% and Sugar -3.30% all pressured by better growing conditions in the Southern Hemisphere.
Multi-market traders continue to enjoy superb trading conditions as volatility and trading ranges have picked up considerably across most market sectors as unrest in the Middle East has provided the jolt to the markets traders were looking for.
At the close of Friday’s business James River Navigator is our top performing multi-strategy program at +5.66% and Bouchard Capital is the top performing short-term trader at +8.53%. Both of these programs have been able to take advantage of short-term market moves including long trades in metals and stocks; along with short positions in grains last week. Congratulations to both managers on a great start to the month.
Other multi-market programs that have a had strong month of February thus far include Accela Global Short Term +5.86%, APA Modified +2.89%, APA Strategic Diversification +2.28%, Dominion Sapphire +2.10%, Robinson-Langley +2.00%, Quantum Leap +1.60%, Hoffman Asset +0.97%, Dighton Aggressive +0.94%, 2100 Xenon 2X +0.93%, Integrated Global Concentrated +0.87%, DMH +0.64%, Futures Truth SAM 101 +0.64%, and Auctos Global +0.22%.
Trend following strategies have struggled throughout the month as reversals in market direction along with the increased velocity of these moves has caused most trend following programs to give back gains accrued late last year. Multi-market programs in the red this month include Mesirow Low Volatility -0.15%, Mesirow Absolute Return -0.21%, Clarke Capital Global Basic -0.20%, Clarke Global Magnum -0.63%, Futures Truth MS4 -1.00%, Clarke Worldwide -1.16%, Covenant Capital Aggressive -3.83%, and GT Capital -6.25%.
Stock index programs continue to suffer in a climate of low market volatility – although today’s selloff in the S&P 500 should help open up the market a little bit. Heading into today Roe Jefferson -1.62%, Paskewitz 3X Contrarian -1.71% and Roe Monticello Spread -2.45% all were in the red.
Option trading managers continue to be mixed with diversified managers generally ahead and stock index trading strategies mostly negative. The top performer has been White River Group +5.68%. WRG is a deep out of the money premium collection strategy with a core focus on 4 markets (Gold, 30 Year Bonds, Euro, and Crude). Other positive estimates include; Liberty Funds Group +1.11%, FCI OSS +1.10%, FCI CPP +1.0%, and ACE SIPC +0.59%. Option managers in the red for the month include; HB Capital -0.01%, Crescent Bay BVP -0.18%, Cervino Diversified -0.70%, Crescent Bay PSI -1.10%, ACE DCP -1.26%, Cervino Diversified 2x -1.58%, and Clarity Capital -3.05%.
Specialty market managers have continued to be dominated by the agriculture traders. Leading the way has been Oak Investment Group +2.85%, followed by NDX Shadrach +2.29%, Rosetta +0.92%, NDX Abednego +0.56%, and then Global Ag -0.58%. Gold specialists are mixed with Cervino Gold +2.16% and AFB Forty Eighter -0.16%. Spread trader Emil Van Essen is currently following up their amazing January performance with a positive +1.23%. Finally, interest rate specialist 2100 Xenon is down slightly -0.46%.
Last week was very similar to two weeks ago. The Bam systems and PSI! led the way.
The Bam systems continue to pick the top and bottom of the moves in the Emini S&P 500 market really well. The Bam systems entered the week long and reversed short near the high on Monday. On Tuesday, the eMini S&P 500 market opened nearly 4 points lower from where the Bam systems had gotten short, Bam took profit and reversed long. Once again, the Bam systems picked the perfect time to reverse and get long. They stayed long through Wednesday and Thursday but on Friday near the high of the day, the Bam systems got out of the long trade and reversed short. For the week Bam 90 ES made $5,167.50, Bam 90 M Squared ES made $4,660, and Bam 90 Single Contract ES made $1,510.00. Other positive results included Polaris up $57.50 and Waugh CTO ERL up $350.00.
On the downside for the week were MoneyMaker ES down -$72.50, AG Mechwarrior ES down -$902.50, MoneyBeans S down -$1,026.07, and Jaws US 60 down -$1,122.50.
On the day trading side, PSI! ERL once again led the way with a profit of $180.00 for the week. PSI! ERL only traded once last week and that was on Wednesday where it got long early in the morning. It stayed long despite the pullback in the mini Russell 2000 market. Other positive results included UpperHand ES at $57.50 and Clipper ERL at $90.00.
Managed Futures Disclaimer:
Past Performance is Not Necessarily Indicative of Future Results. The regulations of the CFTC require that prospective clients of a managed futures program (CTA) receive a disclosure document when they are solicited to enter into an agreement whereby the CTA will direct or guide the client’s commodity interest trading and that certain risk factors be highlighted. The disclosure document contains a complete description of the principal risk factors and each fee to be charged to your account by the CTA.
Trading System Disclaimer:
The dollar amounts listed for trading systems represent the actual profits and losses achieved on a single contract basis in client accounts, and are inclusive of a $50 per round turn commission ($30 per e-mini contracts). Except where noted, the gains/losses are for closed out trades.
The actual percentage gains/losses experienced by investors will vary depending on many factors, including, but not limited to: starting account balances, market behavior, the duration and extent of investor’s participation (whether or not all signals are taken) in the specified system and money management techniques. Because of this, actual percentage gains/losses experienced by investors may be materially different than the percentage gains/losses as presented on this website.
Please read carefully the CFTC required disclaimer regarding hypothetical results below.
HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN; IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK OF ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL WHICH CAN ADVERSELY AFFECT TRADING RESULTS.
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ATTAIN CAPITAL MANAGEMENT, LLC.
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This communication is intended for the sole use of the intended recipient and is for informational purposes only. It is not intended as investment advice, or an offer or solicitation for the purchase or sale of any financial instrument. No market data or other information is warranted by Attain Capital Management as to completeness or accuracy, express or implied, and is subject to change without notice. Any comments or statements made herein do not necessarily reflect those of Attain Capital Management, or their respective subsidiaries, affiliates, officers or employees.