Posts From Sal Cilella

Sal Cilella
As an accomplished private options trader, Sal founded BetterBeta Trading in 2012 to bring his systematic options trading models to retail traders. Focusing exclusively on ETF and index options, BetterBeta Trading’s newsletter services feature both premium selling as well as classical trend following. In addition to leading BetterBeta Trading, Sal’s articles on systematic trading have been featured on numerous online financial outlets, including Abnormal Returns, WSJ and the Whole Street.
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Are Small Cap Stocks Due for a (Relative Strength) Rally?

With the Fed rate hike now in the rearview mirror, traders still appear unsettled by the relative calm in the equity markets, marked by compressed daily trading ranges and intraday reversals. Rather than attempt to predict the direction of the equity markets over the next several weeks, we’d prefer to…

Ways To Trade And Trade Off Of Market Volatility Indices

The financial press and related blogs are packed with tales of worry about the record low VIX Volatility Index (INDEXCBOE:VIX) levels. With the move below 10 last week, it prompted no less than five full length articles on the Wall Street Journal. Writers worried that we should “Fear the Stock…

Trading Index ETFs Through Moving Average Congestion

Identifying trading trends:  When Moving Average Collide…   One of the simplest ways to assess the trading trend (or lack thereof) in an ETF or index is to review the relative position of the moving averages. A quick glance at the small caps Russell 2000 ETF (NYSEARCA:IWM) shows a 5, 20…

VIX:VXV Volatility Ratio: Wait For Stocks To Go On Sale

As we’ve mentioned in previous articles, we watch the ratio between the 3 Month Volatility Index (INDEXCBOE:VXV) and the spot Volatility Index (INDEXCBOE:VIX). This gives us a sense of whether traders are more concerned about the near-term or the longer term and are willing to pay to protect stock market…

Gold Prices (GLD) Trading On Edge Of Risk On/Off

Despite the Fed meeting, surprise OPEC production cut and presidential election uncertainty over the past two weeks, the financial markets have been remarkably range bound. Last week saw long-term US Treasuries move higher along side stocks. While traders typically oscillate from “risk-on” to “risk-off” and move asset classes with them,…

Putting The BREXIT-Fueled Move In Perspective

When the votes were tallied and the surprise outcome became apparent last week, equity indexes around the world began to fall precipitously (along with almost every other asset class that doesn’t qualify as a “safe haven”). Reports quickly surfaced, thanks largely to social media, of sophisticated quant funds, macro geniuses…

Gold ETF (GLD) Offers Opportunity For Bulls And Bears

Depending on your timeframe, a chart can offer traders opportunity on both sides (long and short). That appears to be the case with Gold prices as tracked via the Gold ETF (GLD). Gold prices have enjoyed a nice rally in 2016 and this has shown up in the trading chart…

5 Great Trading Books You May Have Missed

Everyone has their favorite trading books and they’re often the ones that we first discover when we begin our trading journey. For instance, Schwager’s engaging Market Wizards series and Covel’s Complete Turtle Trader books are just two of many famous titles that most SeeItMarket readers have likely read, re-read and shared…

Using A Market Crisis To Find Ways To Improve Your Trading

Never Let a Crisis Go to Waste: Finding New Ways to Improve Your Trading In Charles Duhigg’s 2012 bestseller, The Power of Habit, the author dedicates a portion of the book to the habits and routines that organizations develop over time. In the book, he recounts a series of medical…

Fine Tune Your Entries And Exits Trading The 3 Day EMA

If you’re like most retail swing or position traders, you probably get your signals to open or close a position at the close of the day. You enter your orders overnight and expose yourself to the high variability of the opening price action the next day. Perhaps we gap down…