Short SPY and Long IYR for Monday (5/4), or ...

Right, my new trading plan for Monday is SHORT SPY and LONG IYR. Surely you could use leveraged ETFs with proper position sizing to maximize your profit while reducing risk. To me, BGZ (short SPY) and URE (long IYR) would be my instruments to trade on Monday. This is exactly what Pivot Trend System provides me. Two charts on SPY and IYR are posted below, as you can find green and red arrows in the charts as long/short signals.


If you are not comfortable to have both long and short positions at the same time. See below...

Signals from system are really mixed and no clear direction for where market could go. Market seems to go sideways. Cash in hand is not a bad idea in fact. Cash is also a position, isn't it?

If market opens with gap up on Monday, I would build SPY short positions (buy BGZ);
If market opens with gap down on Monday, I would build IYR long positions (buy URE);
If market opens flat, I will wait until either a high point or a low point that I would feel comfortable to build short or long positions.

Good luck, everyone on your trading next week.

PS. XLF still remains bullish in my Pivot Trend System since the close of 4/20 when XLF was $9.87. At the close of last Friday, it was $10.65 (+7.9%).