S & P 500 with X25 Leverage

S & P 500 Index CFD
Current Price: 2570,12$
Open: 2550,73$
Stop Loss: 2448,75 (-4% from Open, -4,72% from Current Price)
Target: 3000$ (2660$ until 31st of December 2017)
Leverage: X25
Capital Investment: 6,97% of Etoro Capital, 0,3% of total capital
Annual Financing Costs: 3,726%

From a technical analyses point of view we see the following situation in the S & P 500 index.

Supports and Resistances:

2650
2595
2570
(2485)
(2460)
(2420)

See: http://technicalanalysis.info/spx500-daily-analysis-forecast-october-1213-2017/

The stop loss of this strategic Investment is basically set to 100% of the capital investment to avoid machine selling on drawbacks lower than the maximum drawback of 2017 so far. The markets in S & P 500 trade like its 1995. The maximum drawback of the first half year of 2017 was -2,8% from March 1st to April 13th. So there is some safety to -4% of the set stop loss of this trade. This safety increases as share prices rise of cause so that maximum drawback would have to appear from current price levels and there are currently no fundamental signs for such a correction.

See https://www.bespokepremium.com/wp-content/uploads/2017/06/B.I.G.-Tips-Trading-Like-its-1995.pdf?utm_source=BP+Marketing+List&utm_campaign=84090afcd2-EMAIL_CAMPAIGN_2016_11_10&utm_medium=email&utm_term=0_11fe2bb876-84090afcd2-157334377


Drawbacks That Were Oversleeped By Intent

This trade is not designed to have added involvement into daytrading included. Therefore you might want to purchase and sell the S & P 500 or other specific stocks I included in my portfolio on a daily basis. I tend to oversleep such daily volatility if it is not relevant enough to cause an SMS alert on my phone. However I personally made the experience that daily repurchases can work out well or go wrong as daily market changes are nearly impossible to predict for me. Or in the words of Warren Buffet: "The stock market is a device for transferring money from the impatient to the patient". Stock trading is very unsafe at high speed (daily buy and sell orders). However I decided to take a note in this blog of drawbacks that were oversleeped by intent.

19.10.2017: Highest Price: 2563,71 Lowest Price: 2544,13 Drawback of -0,8%
23.10.2017: Highest Price: 2579 Lowest Price: 2563,50 Drawback of -0,6%
25.10.2017: Hightest Price: 2568 Lowest Price: 2544 Drawback of -1,0%

A Final Word In Regards Of Risks Involved

If you are new on this blog please read through the introduction (the big picture) before following my strategy and advises. You can find this introduction here.

Conclusion

Currently there is a great risk - reward situation in the S & P 500 index. At etoro you can open this trade for with a minimum capital investment of only 200 USD at the leverage ratio of X25. As I am absolutely no friend of day trading principles I strongly suggest to let the profits run up to the target TP Level which is a 17,6% increase in the S & P 500 index and could take a year from now to reach.

This trade is part of my portfolio at etoro and can be copied on Etoro together with the rest of my strategy.

I wish you all the best and good luck!