Took my lumps today. Took a 3200USD loss today but avoided an 22K or more loss

Discussion in 'Trading' started by prc117f, Oct 10, 2018.

  1. prc117f

    prc117f

    Positive for the year (minus 3200 bucks) but If I would have been an idiot, or using Hope as a strategy, or tried to ride it out our double down to hope for a profit it would have been bad.

    If I would have been dumb enough to wait for an upswing I would have been down 22K easy by near closing. and who knows how worse much worse If I left my positions open overnight, for all I know we could drop another 400points.

    I always say, cut your losses quick and wait for a new opportunity later.

    Hopefully you guys jumped out quick before shit hit the fan. Losses are a learning opportunity.

    Remember cut your losses, don't leave any positions open to risk, dont try to force a trade or roll forward hoping for a gain later. I have this philosophy ingrained in my head from years of trading. Learn to lose and you will outlast the rest, protect your trading capital and continue to profit over the years.
     
    tendimsol, shatteredx and PennySnatch like this.
  2. Note to self: I must fade this...

    Losses are a learning opportunity.
     
  3. destriero

    destriero

    vol begets vol. You could have a GDP number at 5% with inflation at 2% and the market would drop. I told y'all but you wouldn't listen.
     
  4. Overnight

    Overnight

    I haven't learned that lesson yet, because I always believed in market recovery after Feb and March this year. After all, when was the last time we have seen this kind of volatility in a year on both the long and short side? Ooops! This one may well wipe me out. We shall see.
     
  5. prc117f

    prc117f

    My mistake was complacency. the 10 year note was signaling distress ahead I had a profit on the table and should have closed when gut said hey why not enter that new trade you are thinking about and close the other.

    I got kind of lazy and complacent and too my eyes off the ball busy fucking around and not doing my job(trading SPY options)

    If I did not fuck around and entered that trade today would have been a nice fat chunk of profit. instead 3200 dollar penalty for fucking around.

    Anyhow I updated my notes, and will focus at the task at hand and not be lazy. :)

    Maybe time for me to take a 1-2 month "Road trip vacation, travel" again and have R&R have not done that in a couple of years. Time off from the day to day sharpens the mind and spirit.
     
  6. prc117f

    prc117f

    Thats the "Hope Strategy" it will burn you/wipe you out. how long have you been trading? I have been trading since 1991. Used to be on the floor. I do not miss the floor(I did enjoy though when young, all that testosterone and action etc.. but as you age it's different). :) Love Electronic.
     
  7. Overnight

    Overnight

    Not long enough to see these moves and plan for them. That much is obvious. I am still very much a newb when it comes to understanding market dynamics in the equity world. I can only go by what I see in the previous charts time frames, and anticipate.

    The shitty thing about my entry is...I am in at 7670 long NQ, and last Wednesday it came within 5 points of my 7710 target. I was very stubborn about getting that target. So I waited. Here we are, one calendar week later, and the markets are, well, doing what they do. This sort of thing did not happen last year. This year has been quite odd, you must admit.
     
  8. destriero

    destriero

    The problem with forums like this is that the bias is inherently (ingrained) to be long the market--ever more so after a nearly decade long bull market. I took a ton of shit on my "cyclical top" thread and they're still looking for highs over 3050.

    Won't happen.

    I was waffling on an RE offer from a buyer but took the offer without another counter as I expect the rez RE market to IMPLODE before Q1 2019.

    I am out of all longs, still heavily short, and have nearly 30% of my LNW in short mkt/long vola. My March SPX position is perfected at SPX 2900 but cannot lose under 2933.
     
    speedo likes this.
  9. srinir

    srinir

    It was a good call. I thought it was little early, wish had bought more protection

    Regarding RE market, home builders ETF ITB is already down 25% YTD
     
  10. Here4money

    Here4money

    Down 2k today, left phone at home :(. Down 5k for the week
     
    #10     Oct 10, 2018