April 10th - Markets Closed, Good Friday

April 9th

Well, it was a mixed day. At one point I was up about 80 cents per share. Then I decided to try to play reversals on HIG and GS. Well, that was a very bad move on a day when the financials were on a tear! Stupid, really. I constantly castigate myself privately and on this blog about playing reversals against the primary trend of the day. Yet, I continue doing it because it's familiar. I think that my relative success paper-trading these past weeks has allowed me to continue on the same path and accept these bad days as the cost of doing business. At some point, I will have to make a change to this mindset. I have some things in mind and I will be trying to implement them in the near future. It really was a day of lost opportunity... that's how I see days where the movement is primarily in one direction and I don't capitalize on it. How easy it would be to just go short the inverse ETF's or long the financials like GS. Just as Tiger Woods had early success yet changed his swing to improve it, I must follow the same principle to improve my paper-trading. If a leader in his field such as Tiger believes in changing what is good in pursuit of better, it seemingly could work for me also. We'll see. I'm not Tiger Woods, of course, but I am sufficiently motivated. I just have to be prepared for losses while "re-working my swing."
ADDENDUM: After re-reading this post, it gives the impression I am "elevating myself" to a level of competence of which I am certainly not worthy. It is meant only to imply the potential for me and all of us to learn from successful people that we can make change for the better even if we enjoy some success already.


11 for 21 wins for a 52% win rate; 86 cents per share loss.

April 8th

This was a more comfortable day in front of the markets for me. Although I started off on the wrong foot with two losses on one cumulative position, I was pleased that I recognized it as a loser and bailed instead of riding it down as has often been the case for me. I then promptly reversed my direction and went short into the trend and made most of the loss back right away. Because I am paper-trading, the dollar amounts are moot. What is important is the training... and this trade was good training in what to do when the trade goes against you. The whole point is to keep yourself in the game; which requires protecting your principle. The rest of the day went quite well with just one other loss. With regard to winners, it was another day with escaping too soon after good entries at the head of nice moves. Notably, the final trade of the day where I took only 6.5 cents out of a 56 cent reversal in SKF at 2:12 pm; a mere 12% available to me! But, the fact is that I took a profit on the trade and I will not complain too loudly, lest I anger the market gods and be rewarded a massive loss the next time out for my insolence.
Two other bright spots in the day:
1. My conversation with Yngvai of http://welcometothegutter.blogspot.com/ regarding all things stocks. Thanks, James, for a great back and forth about this little world we choose to play in! It was a pleasure to talk shop with an afficianado.
2. Scott Farnham, the human trading machine, has opened up his blog Fear & Greed Day Trader to the public again, after a two-month hiatus. Copy everything you can as Scott's comment indicated that it may be available only temporarily. Hopefully he will keep it out there for us for a long time! Thanks Scott.

10 for 13 winners, a 77% win rate. 83 cents per-share gain.