The stock market year 2018 was not easy. There were vicissitudes in the markets, and no clear trend could be established for the stock market. We are currently running into a bear market and it is worthwhile to look for alternative options. In this article, we want to show you that it pays to look back and reflect on the year 2018.
Annual Review 2018
Let’s take a look at the most well-known trading instruments:
EURUSD (blue), Oil (black), S&P 500 (green), Gold (yellow)
All four values have lost ground this year and will close deeper than they started the year. A detailed look at the stock market is worthwhile to find out if we owe it to certain industries that it went downhill:
With the health sector, only one sector from 12 to 26 December was in the plus, and that was only by 1.86%. The sale on the stock markets thus takes place on a broad front and can be described as “healthy”. Those who focus on and predominantly buy stocks had a difficult year, although there were, of course, such gems as DexCom (DXCM) and Iridium Communications (IRDMB), which made over 100% in 2018. It’s probably no coincidence that both titles come from the Health Care and Communication Services sectors.
Commodity markets in 2018
The commodity markets were not easy to trade in 2018 either. There were ups and downs in almost all commodities, and after clear long trends, the commodity traders have longed. However, the movements that occurred were often very fierce and led to a black swan in natural gas (NG) in mid-November, which we worked through in a special webinar together with our premium members.
Tradimo real money account in 2018
We made an impressive performance with our $100,000 real money account, which unfortunately we could not keep due to all sorts of circumstances. Nevertheless, we beat the market and will end the year with a small plus.
So we performed in the individual asset classes:
- Shares – $1,488.03
- Options – $1,378.97
- Futures + $10,264.03
And that’s the whole thing compared to the known benchmarks:
Of course, it’s disappointing to see this small profit at the end of the year when you’re already over 30% in the plus, but compared to some hedge funds we can really be very satisfied with our performance.
Annual outlook 2019
Currently, we see no reason for 2019 to be a good year for equities. In our estimation, 2019 will be a difficult year for equities, in which we will see a further slowdown or longer sideways phase. The good thing is that there is the right strategy for every market phase. Alternatively, of course, one can simply look around for other markets and make trades in currencies, commodities or bonds. With a broad portfolio of good strategies, there are good opportunities in every situation, and we will continue to implement market-neutral strategies in the stock indices in 2019 and find good spots in the commodity markets.
Especially for options traders, the coming year should be more pleasant, because the option prices have increased significantly in almost all markets, which is particularly beneficial to option sellers.
Annual target in trading account
We are very optimistic about the year 2019 and have a lot to catch up with in order to meet our long-term target of 25% per annum. Of course, we will not take any additional risks and continue to attach great importance to a balanced portfolio, but we set the annual target for 2019 at 30%.