Scary how overbought this market is, I had a gigantic position in AAPL that hit the main target today aprox 560+ and looking at it's parent index, I would not overstay my welcome as a bull around these levels. Bulls make money bears make money (well ammo, cause havent met a bear who made money in 2013 yet lol) but staying long around these levels its just a flat out PIG. NDX Weekly attached, sometimes they overshoot due to increased volatility due to stops and stop hunters, but nevertheless its R.
Last night I went long before my indicator turned up and had stop slightly under last support and got stopped out, then the market reversed up, so I jumped back in and was able to make a my loss back and a 1 tick profit. Market was again over support in my afternoon trade, so went long with stop again slightly under the support and got stopped out. However, my indicator was down, plus my stop was actually where I would consider the market telling me that it had reversed to a bearish trend. So this time I believed the breakout to the downside was real and shorted. I wanted to make some money today so I set my target double my last loss, and then did other things. I set a standard full stop. Market had gone 1 point in my favor and my stop moved to BE, but then I moved it back since at this point I want to either make money or lose money for the day. Later on I heard that nice sound of target hit. Thoughts on my trades. My 1st trade last night, I really should have used a full stop and I would not have been stopped out. Or I should have waited till I was able to sit at the computer later that night and trade more patiently maybe on short trade later. On the afternoon trades today, I see now that the market was going down in a triangle formation. If I wanted to go long I should have waited for a break above the triangle. For shorting I could have probably shorted nearer to resistance, but a break out trade in a down trend is still a viable trade. I am also happy that I decided to try for a profitable day instead of a just a break even day. For the most part today, the indicator really only worked in showing bearish trades. In theory, on my 1st trade in the afternoon, we could have been forming a HL, but that would have only been proven if the market broke out of the triangle. Also, as noted falling below the small support indicated a full trend change to a bearish trend from a previous bullish trend but then so did the market not being able to break the triangle. So thoughts for future, is if current trend is slightly bearish, I need to wait for the HL to prove itself by the market making a HH. If the market is unable to do that and breaks the recent support, it indicates further weakness instead of the market trying to trick short traders. Any long traders that decided to just go long with no good stops since the market has in the past usually gone up, got crushed. Those with an open mind where able to understand that the days trend had turned bearish and profit from it.
Would someone just take me out and shoot me....what a wasted day. I did eek (literally :eek out 3 freaking pts and should have just turned it off. Better things to do with your life sometimes. sigh
wow...no sooner than I finish my whine and we drop 4 pts...you shorts can send your check to ...GOTCHUCOVRED@paypal
I know very well this behaviour. A day spent this way can be good to see how weak is your brain and to try and fix it. If you manage to do it,you improve your life considerably,then that day was very well spent.