Friday, April 17, 2009

87.5% Get me angry, I will kick your a**


Base System: 35W 5L 40T = 87.5%
Sub System: 13W 2L 15T 15T = 86.7%

Trading: +$531.80
Net Points: +10.25
Accuracy: 68.89%

I was trading 2 contracts today. 1 point target, then move stop to break even and a tight stop on the runner. I was in the zone early and was up $1199.00. I had something like 14 winners, 1 loss and 2 breakevens at this point.

I took a short which went against me and the market then continued to literally plod upward many many points during lunchtime. It was a complete and utter bizarre move. I have no clue as to what was occurring...tick by tick by tick just low volume no volatility plodding.
I had made the bad decision to continue to average in contracts and was completely and utterly angry at the markets oddball rise. I had resigned myself to losing it all and more, but I had to be right. I was wrong. When I finally decided to start peeling off contracts and accept the loss gradually, I accidentally closed the entire position. Now I was NEGATIVE $550 on the day - WOW. I should really learn my lesson on this having to be right stuff.
The mistake had been made and then compounded and I was ready to call it a day. Instead I continued looking for setups and when confirmed I would trade 2-5 contracts. I cleared my zero mark and went on to profitably close the day.
I lost track of my S&R levels and it got me into trouble. When I finally did get the short I was waiting for - I did not realize it was a major S&R levels - so I missed about 1.5 points by taking a small trade because I was mentally scarred from the move up.

Never trade angry and need to be right. I enjoy the challenge of a comeback after a drawdown, even though I know mentally and financially its a risky thing. The system is awesome - I just have to take some losers gracefully.

Chart of the day shows the plodding upward move followed by the 2 point short that I only caught a tiny bit of.

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