I am no longer going to trade stocks priced over $85. They are too risky. The only improvement or positive thing I can make out of today is that I learned a hard lesson: higher priced stocks have built in risk exposure. In the continuing development of my discipline as a trader I will learn how to limit these risks as much as possible, where I can learn to enter positions cautiously and assess things based on (1) how much cap I have (2) my entry and exit plan for each position [even how much I'm willing to lose]
No more gunslinging...
Thursday, October 22, 2009
Friday, October 16, 2009
Being Petty
I've decided that this week's improvement has been helpful. I can rest easy knowing that I am more profitable, but these little scalps are becoming pay-cuts. I've averaged dimes of returns instead of quarters on my winners. This can change if I lengthen the time I hold on to a trade. My increase in prudent behaviour is the reason why my performance is seeing a green candle - so I can rely on some swing trades to be big winners.
Its time for some trend trading.
IMPROVEMENTS
-hold the winners longer by looking at the number of hours (or 1/2 hr) a trade has been held, and stick to it
Its time for some trend trading.
IMPROVEMENTS
-hold the winners longer by looking at the number of hours (or 1/2 hr) a trade has been held, and stick to it
Tuesday, October 13, 2009
Baby Steps
The only way I can really become a success long term is by taking small gains as they come; making the mile markers smaller. I have completely done away with trying to figure out every movement of this market. It is really hard to be in the rhythm of its motions when fear and pompousness cloud my judgement.
Now is the time for me to re-group and get back on the winning wave - for some time to come.
Comeback is defined by repetition....
Now is the time for me to re-group and get back on the winning wave - for some time to come.
Comeback is defined by repetition....
Wednesday, October 7, 2009
Confused Bears
After today I realize that protective stops could be the best thing I could ever use to manage risk. I really didn't have to lose as much as I did. And I need to adapt to switching my suit: what I mean by that is putting on some long positions (bullish) when the time is right. Even though today had such choppy movements I still could've been a more nimble range trader on the long side.
IMPROVEMENTS
-Today confirmed to me that Gold has more potential. I even want to hold it for a few days even weeks! I will be implementing this.
IMPROVEMENTS
-Today confirmed to me that Gold has more potential. I even want to hold it for a few days even weeks! I will be implementing this.
Trendline
From time to time I'll post things about how I've improved my behavior. They will be listed under IMPROVEMENTS
What I've found about trading is that the game is more mental and will toll on the trader's emotions.
The market's price action on Monday notched another green candle. But the $SPX 1050 level could prove to be resistance moving forward. I am patiently observing Tuesday's movement to gauge whether the market will continue moving down, and if that is the case - the bears could probably resume their momentum and I'll continue to build up short positions.
What I've learned from some of Monday's trades is that I've finally garnered the conviction to hold my positions for a few hours longer than normal.
Monday's IMPROVEMENTS
-I blanketed a few shorts (small position size) and held them until my unrealized profit was substantial.
-I was decisive enough to take my position at what I believed to be a market top for the day
- I was not biased in my bearishness
What I've found about trading is that the game is more mental and will toll on the trader's emotions.
The market's price action on Monday notched another green candle. But the $SPX 1050 level could prove to be resistance moving forward. I am patiently observing Tuesday's movement to gauge whether the market will continue moving down, and if that is the case - the bears could probably resume their momentum and I'll continue to build up short positions.
What I've learned from some of Monday's trades is that I've finally garnered the conviction to hold my positions for a few hours longer than normal.
Monday's IMPROVEMENTS
-I blanketed a few shorts (small position size) and held them until my unrealized profit was substantial.
-I was decisive enough to take my position at what I believed to be a market top for the day
- I was not biased in my bearishness
Thursday, September 24, 2009
My new blog
9/24/2009
Well, this is my first post, and for those of you who are new to my journal. This will allow me to own up to some of my positions.
I'm building up a portfolio, that with some consistent discipline will start looking like this guy:
Today's price action causes me to watch 1050 on the S&P and 9700 on the dow. The choppy movement today and yesterday is actually showing selling pressure, so I would be watching for a pullback and if it intensifies there would need to be support which I think could start a new trend. But, the key levels I'm watching for potential support would be 1030 on the S&P and 9700 on the Dow.
Some shorts
ASH - I traded this bad boy today and fortunately was one of the bears slashing it down. Its pattern sits well with me, and I'd like to ride it down to 44 if momentum continues.
DZZ- A play on dollar strength/gold weakness. This doesn't have much potential in terms of something I'd like to hold for a few days, I'd consider it a long scalp, but it will still move strongly with gold hitting its potential support at 970-980.
That's it for now folks, I closed out all of my positions, but what I've posted is where I stand on the next few days. Its time to hit the calendar
Well, this is my first post, and for those of you who are new to my journal. This will allow me to own up to some of my positions.
I'm building up a portfolio, that with some consistent discipline will start looking like this guy:

Some shorts
ASH - I traded this bad boy today and fortunately was one of the bears slashing it down. Its pattern sits well with me, and I'd like to ride it down to 44 if momentum continues.
DZZ- A play on dollar strength/gold weakness. This doesn't have much potential in terms of something I'd like to hold for a few days, I'd consider it a long scalp, but it will still move strongly with gold hitting its potential support at 970-980.
That's it for now folks, I closed out all of my positions, but what I've posted is where I stand on the next few days. Its time to hit the calendar
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