Dynamic Portfolio Selection: How to Find the Next Bull Market
Dynamic portfolio selection is an advanced trading technique that enables us to change the portfolio of markets that we trade - as we are trading them.
On our portfolio heat page we used the analogy of comparing the trades in our account to cars in a parking lot. To reiterate, we said if we had a parking lot with only 15 spaces, then obviously, no more than 15 cars can park in the lot at any one time. In order for a new car to park, a previously parked car must first leave.
There will be times, however, when there may be only one, two or even no cars parked in our lot. The equivalent in trading is when we have no current positions in any of the markets we chose for our portfolio.
This advanced trading technique gives us the ability to control the flow of cars down the street where our parking lot is. There is always a bull market somewhere and with dynamic portfolio selection - we can find it.
Also, when there are more than enough trades, we have the luxury of trading only the strongest markets in each sector… this creates another enormous edge over selecting a standard number of markets in a static portfolio.
Our Commodity Trading Strategy is one of the few strategies available that uses dynamic portfolio selection. See how dynamic portfolio selection is used to create a stellar risk/reward profile for the strategy.
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CFTC REQUIRED RISK DISCLOSURE
Futures and options trading involve substantial risk. The valuation of futures and options may fluctuate, and as a result, clients may lose more than their original investment. In no event should the content of this website be construed as an express or an implied promise, guarantee or implication by or from Commodity Trading Solutions, LLC that you will profit or that losses can or will be limited in any manner whatsoever. Past performance is not necessarily indicative of future results. Information provided on this website is intended solely for informative purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted.
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