The Triple X Dow 30 Strategies

Harnessing the Stability and Growth of a Blue Chip Index

The Dow Jones Industrial Average (DJIA) represents an attractive opportunity for individual investors seeking stability and long-term growth. Comprised of 30 of America’s largest and most well-established blue chip companies, this iconic index comes with several key advantages:

  • Diversification: Spanning industries such as health care, technology, consumer staples, and financials, the DJIA’s wide reach ensures that no single sector overly influences your portfolio’s performance, thereby reducing risk.

  • Established track record: Founded in 1896, the DJIA has seen the U.S. economy survive countless market storms and economic cycles, underscoring its long-term growth potential.

  • Brand recognition: With close to a dozen of its components being household names, the DJIA is replete with companies boasting decades of operational success and a litany of innovations to their names – both factors likely to inspire investor confidence, if not a measure of stability through the sheer collective force of their protracted prosperity.

Triple X strategy offers two strategies for potentially amplifying returns on the Dow Jones Industrial Average (DJIA) using the ProShares UltraPro Dow 30 ETF (symbol UDOW).

The Triple X Dow 30 Weekly Strategy:

  • Buy signal: This strategy utilizes the Aroon Indicator to identify trends. When the Aroon Up indicator reaches a certain threshold, it suggests a potential buying opportunity.

  • Sell signal: The Relative Strength Index (RSI) helps identify overbought conditions. When the RSI reaches a specific level, it might indicate a potential time to sell and exit the position.

The Aroon Indicator signals buying opportunities by detecting the start of upward trends, while the RSI indicates sell signals by identifying overbought conditions, suggesting a potential reversal. This combination optimizes trade entry at the beginning of profitable trends and exit before downturns, enhancing trade timing and effectiveness.

The Triple X Dow 30 Daily Strategy:

  • Buy signal: This strategy uses the Flare-Out Growth Ratio to identify potential overheating in the market. When this ratio surpasses a certain level, it might suggest a buying opportunity before a potential upward trend.

  • Sell signal: The Money Flow Index (MFI) helps identify overbought/oversold conditions. When the MFI reaches a specific level, it might indicate a potential time to sell and exit the position before a potential downward trend.

The Flare-Out Growth Ratio signals buying opportunities by detecting market overheating before price surges, while the Money Flow Index (MFI) indicates sell moments by identifying overbought/oversold conditions, predicting downturns. Together, they optimize trade timing using investor sentiment and trading volume, aiming for profitable entry and exit points.

A Word About the ProShares UltraPro Dow 30 ETF (symbol UDOW)

This ProShares ETF seeks daily investment results that correspond, before fees and expenses, to 3x the daily performance of its underlying benchmark (the “Daily Target”). While the Fund has a daily investment objective, you may hold Fund shares for longer than one day if you believe it is consistent with your goals and risk tolerance. For any holding period other than a day, your return may be higher or lower than the Daily Target. These differences may be significant. Smaller index gains/losses and higher index volatility contribute to returns worse than the Daily Target. Larger index gains/losses and lower index volatility contribute to returns better than the Daily Target. The fund should not be expected to provide three times the return of the benchmark’s cumulative return for periods greater than a day.

Index Information

The Dow Jones Industrial Average, Dow Jones, or simply the Dow, is a stock market index of 30 prominent companies listed on stock exchanges in the United States. The DJIA is one of the oldest and most commonly followed equity indexes. One cannot invest directly in an index.