Reply To: ITM for stocks with recent golden crosses

[Jeff Launiere]

I do sometimes use ITM to buy stocks. The biggest problem of course with stocks is you have earnings which can cause the stock to climb or fall rapidly, and does not always fit what the earnings show. The other problem is that a single stock can be affected by things such as the death of a CEO, or people stepping down, fraud, poor earnings of another stock in the same sector, an analysts downgrade or upgrade, and many other things. It does often work, but has some issues that large ETF’s such as the SPY do not. In backtesting, I have found it works well with many stocks, other stocks it does not work out well at all.