Readers who have followed me for a while know that the Qs and GE make up a major portion of my portfolio. I trade each using a variety of strategies including the VIXEN and NYAD crosses for daytrading, premium decay on longer term positions using a number of option setups.
As part of my ongoing research into non-correlated ways to mine a few more bucks out of GE I've added a GE dashboard to my expanding repertoire of PDQs, with the eventual goal of having a robust PDQ Dirty Dozen.
The PDQ above reflects the current state of that research. As with many other of the PDQs, this GE version is a mix of stocks and ETFs and I can make a pretty good case for the logic behind each of the pair components. They all share a high linearity correlation with GE and, although a wide range of N days and trade frequency is evident, I was actually looking for this type of robustness given GE's relative volatility.
Current signals are moderately short.
Volume was running about 35% sub par Wednesday and Thursday, which typically causes short term volatility to rise, and that caveat has be factored into the current signals.
Next week we'll look at a graphical interface for the PDQ that dramatically displays the robustness of these forecasting models.