Yesterday we had another volatile session. DJIA was up as much as 200 before losing 150 points only to rebound 60 points. This type of choppy environment is dangerous to trades that lack the experience to either stay out or be very fast with trades. Its also very dangerous to those that trade with tight stops. My approach in a market like this one is to take on smaller positions with wider stops to make up for the volatility. I understand the getting whipsawed in & out of positions can be detrimental to one’s equity.
Last night I was so tired & had a headache (migraine). It was due to a lack of sleep & staring at the computer screens for an extended period of time. I was so beat up that I couldn’t write my trade plan. However I still put trades on which wasn’t smart. If your not in the optimal condition don’t trade! If you are slow to move or cranky & tired don’t trade. You stand to make really bad decisions. You don’t care as much. You won’t follow your written rules.
Never take your rules & your brain & stick them in the draw! You develop rules for a reason!
Last night I took a short trade in Crude Oil $cl_f the market was so thin that when I tried to cover for a small gain & close holding the market kept moving away from me. I ended up taking almost twice the loss I had planned prior to the trade. The market literally jumped .06c in one tick with no volume. It happens were you will take a loss larger than your initial stop. The stupid trade that I did came after taking that loss. I took a long trade in Gold $GC_f based on a volume alert. It was a spontaneous trade with no real plan other than to make back monies lost in the crude trade. Gold is a very choppy futures contract for scalp trading. I knew this but wasn’t thinking. I compounded my stupidity by leaving my computer because of my migraine. I had an opportunity to take a slight gain but for some reason I was being stubborn. As I was laying in bed I was able to relax & my headache was subsiding I was able to think more clear. I asked myself do I want to be a gambler & ruin every thing I have been building & develop bad habits or do I want to be a great trader? I picked up my cell phone went to my tradestation app & sold the $GC_F long. I didn’t even look or care were it was. I know from experience that compounding mistakes is a sure my to blow up an account. I slept well much better knowing that I corrected my mistake.
I woke up after a great night sleep & I don’t feel those emotions lurking. Headache still there but not a migraine. Ready to take on the world with a positive attitude.
I will not post any charts today due to lack of time.
I will post my holdings screen shot, yesterday’s order screen, the one from last night & my game plan.
Yesterday’s order screen:
Last Nights Order screen:
My Game Plan:
I have reviewed the stocks I own & I am happy w/ where the stop loss orders are. So I will leave everything the way it is.
I will not add any new positions. I am at my max in terms of how many stocks I am willing to own. To add a new position I would have to eliminate a position.
Please see my order screen to see where my stops are placed.
Please DO NOT follow these trades blindly this is my trade plan & I know my risks. This is not investment advice or trading advice. This is for educational purposes. Do your own Due Diligence! Trading involves many risks. I post this for myself to get better & to learn from when I am wrong. I believe that mistakes are only made by not following your written trade plan. If you don’t have a written plan then every trade you make is a mistake IMHO. Losses are part of the game & a loss isn’t a mistake if you followed your plan. Please see my Legal Disclaimer http://yobronomics.com/disclaimer/
Contact me if you have any questions.
Michael J Zoitas
AKA YO BRO
Follow me for real time entry & exits with screen shots of charts, orders, & holdings at
Plan your trades & trade your plan! Failure to plan is planning to fail!
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