profile7The New York Stock Exchange started off pretty strong but it was a little confusing at the open because we had a couple of stutter moves that probably confused a whole lot of people. As it is right now, I don’t even think the Dow is past -10 which goes to show you what kind of a day it’s been so far. Are we tired of volatility? Maybe. Or Maybe we’re all waiting on what kind of damage Harvey does to Louisiana. Either way, I think that the month ahead will be full of consolidation as everybody looks to hedge and just overall be in protective gear for the broad impact this natural disaster will have.

I traded Orange Juice this morning as the only asset outside of the cash open and I’m glad I did because that was the only thing that really gave me money. The PnL overall wasn’t something to write home about but it was enough for me to consider it a productive outing and an overall productive day. The cash open though was kind of mixed as I hinted at above. I wasn’t really able to get a good sense of the entire market as a whole and I ended up barely covering commissions. Again, I don’t like overtrading and the diluting effect that it has on the daily PnL so when I feel like my hammering ain’t driving the nail in, I just leave it and prep for the next day. It’s a little frustrating because as you know the cash open is my bread and butter and when something happens there, it really affects other parts of my trading – not so much as when I was younger but moreso mentally. It’s hard to trade but just for perspective’s sake – it’s better to not lose money than to be idealistic about trading through the pain and then looking at your statement to see that you’ve practically paid a week’s worth of lunch for your broker (don’t get me wrong, I love my broker and I wouldn’t mind ordering lunch for him/her occasionally).

Let me just switch gears momentarily before I end the post. I really don’t mess around with water. And when it comes to big hurricanes like Harvey and living in a relatively close coastal area, I am really serious about understanding just what kind of hurricane I would be facing. I don’t live in an area like that now but I used to have a timeshare in Florida near the beach. Just with much of my life being around water, I’ve learned to love it as well as respect it’s power. I am so saddened to hear of people being swept out and drowning in Houston and it makes me call my younger relatives just to remind them of what uncontrolled water can do. Flash floods and similar water phenomena are the stuff of nightmares which is why the wife and I never ever set camp on or near flat and low lying areas. Be careful with water and if you can, donate something for the flood effort.

I’m thankful to God that I didn’t screw up in my trading. There are so many ways to win in this game but the caveat is that there are so many other ways to lose. Like I always say, it’s not good to be a good loser because the market starts to zero in on you if you love the proverbial hit so much. Instead, I get mad but I keep things professional. It’s hard enough in this business but when you lose your head, that’s when things start to really get out of hand. I’m really thankful that I’m in an emotional position where I’m prepared for the next day and that I can concentrate on the core foundations of all successful people – being decent and being professional.

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