Most investors believe that in order to attain extraordinary returns, they have to use something other than mutual funds or ETFs, so they turn their attention to individual stocks and options. While there is potential for big rewards, both strategies are risky.
Our ETF Trader service comes with all of the firepower of individual stocks or options but without all that risk. Many individual stock portfolios fell 75% in the bear market and 80% of all options players lose 100% of their money.

Our service seeks the same extraordinary gains as stock and options investors, but uses Exchange Traded Funds to pursue extraordinary returns.

We focus on short-term and intermediate opportunities in the market, taking advantage of natural swings in the trends - both on the up and down side. When the market goes down, we’ll put leveraged index funds to work and focus our firepower on what we believe to be the best short-term opportunity.

Our goal is to to string together a few singles and doubles and an occasional home run. But we’ll only swing at good pitches and not get greedy with the hopes of hitting one out of the park.

We’ll go after profits by pouncing on short-term opportunities to make 5% or 10% in anywhere from 1 to 12 weeks; by hopping on intermediate trends that can yield 25% to 50% in just 3 to 6 months; by investing against the herd and reaping profits from a trend reversal. These are just some of the strategies we will be implementing and all the time using tools we know and understand.

We’ve identified more than 700 ETF’s that give us liquidity and leverage, and that carry low management fees and are trader friendly.

The stock market moves between two human emotions, greed and fear. When the herd loves an investment and greed kicks in, we will look for opportunities to take advantage of a reversal in that trend and subsequent lower prices. It could be in a broad sense, or a specific sector, where we may short a particular index or use bear market index funds.

When investors flee in fear, we want to take advantage of the coming rise in prices. Price movement is all that matters in either scenario. We’ll just keep our radar up for extremes and reversals that could produce 10% to 15% moves in relatively short periods. One tool used to identify these extremes is sentiment, positive or negative attitudes regarding the market in the media, public and among professional advisors.

The market generally moves contradictory to sentiment. So, when it is out of line one way or the other, we’ll look to take advantage of the upcoming shift. The 4 primary types of opportunities that we’ll be looking to profit from are:

• Short-term swings in the S&P 500 and Nasdaq 100, using leverage to either profit from rising or falling prices.
• Specific sectors that are outperforming the general market, focusing on reversals in price change and momentum.
• Emerging trends that catch most investors by surprise.
• Bear markets and downtrends that offer opportunity using funds that seek the inverse performance of an index.

Our goal is to make ETF Trader as simple and easy-to-follow as possible. One of the elements that will help us accomplish simplicity (as well as focused firepower) is holding only 4 to 7 positions in our portfolio at a time.

For example, you might receive a Special Bulletin (Buy or Sell) via e-mail on any given weekday after the close of the market. For a buy, it might read, “Buy the QQQs at the open of the market tomorrow.” Or, it might say, “Sell the QQQs and place the proceeds in the money market (cash).”

That’s all there is to it. It’s extremely important that you follow the instructions precisely. Do not put off selling or buying. Immediate action keeps emotions at bay and the short-term nature of the trades means time is of the essence.

If ETF Trader sounds like a good fit, click here to sign up or call 1-800-FABIANS.

Note:Doug Fabian is the editor of three paid investment newsletter services owned and published by Eagle Publishing, Inc. The editorial duties performed by Doug are incidental to Fabian Wealth Strategies and are not considered investment advice for client portfolios. Doug is bound by the Eagle Publishing Editors Security Trading Policy that is intended to ensure compliance with all federal and state securities laws.