The New York Stock Exchange certainly started off with a bang this morning. I saw that the market was down about 127 before the bell rang and coupled with Hurricane Harvey, I knew that we were going to be in for a flurry of orders before the last rings of the opening bell dissipated. Anyway, to see that 15% of refinery capacity was knocked out due to the hurricane is one thing, but to see that Harvey is moving eastward to another refinery center in Louisiana is something that can really amplify the situation. For now, this is the front and center news in the United States and it will have a bigger implication than normal in the September to follow for asset prices across the board.
As soon as the bell rang, I was off to work. It was a little difficult because there was almost an equal amount of buying as there were sell orders so it really moved the markets. I was able to get some good action and even some garbage trades in to pad the PnL but there is definitely a point where I stop with the garbage ticks because it becomes an issue of diminishing returns with an increase in the risk of PnL dilution if you get into a series of bad scalps. I tried trading Wheat in the morning but I wasn’t comfortable with the market overall so I just put down a little bit of risk and got out when I felt like the reason I traded wasn’t there anymore. No point in fretting over things that don’t work – besides, I had the cash open to get ready for.
Overall, this was a quiet day. I’m thankful that I was productive. I want to always be positive but I really hold myself to a higher standard with this stuff because consistently aiming for peanuts is no way to succeed in this business. If I get peanuts after I try my best, that’s one thing but if I go in expecting peanuts then I may as well just be a male stripper in some backwater town in the Venezuela/Columbia border (ew, I can’t believe I even conjured that up). Anyway, thanks to God, I haven’t done anything to seriously fuck up my account. I am alive for another business day and I can be in a position of emotional strength.