The New York Stock Exchange didn’t start out with much of a pop compared to the last two weeks of market action but that didn’t mean there wasn’t one. A couple of minutes before the open went off there must have been some big news because in the span of 4 minutes the market spiked up with the Dow moving 50+ ticks into the stratosphere. I feel sorry for whoever had a short position lined up along those prices because that would have really really hurt.
I traded Wheat this morning and while there was potential for a good move, I didn’t feel comfortable hanging around the market any longer and decided that if I was going to do it then I would do it with a lot less risk and that’s what I did. In the end, I captured something but after the reduced risk it was diluted as I gave back a little bit on the PnL. I did this for two of the three trades in the asset and it produced some extra cash. Where I did do decently though was in the cash open. Even though most of the move was in that premarket jump, I was still able to get something from the back and forth orders at the ringing of the bell. There were plenty of places to snipe from so to speak and I feel like the market wasn’t too fast to where people could get in position and do with their positions whatever they wanted. Overall, it was a good way not only to end the morning but to end the week. I had a pretty rough start but I feel ok with what I was able to bag going into Saturday.
This week was bad not only because of my trading but because there were outside things that managed to creep into my daily life. It’s not a situation fit to blog about because of the complexity, rather, I realize that its lessons resonate in trading. I think we are all too familiar with an event happening to us that is challenging and painful. This is what happened to me in the beginning of the week. However, where the younger and more impulsive me would have lashed out and let his emotions get the best of him, I remained cool about the situation, looked at it from different perspectives and then went to work kicking the shit out of the people/situation that needed the shit kicked out of it. Of course, I’m not saying that I literally kicked the shit out of people even though that’s what I would like to do. I’m saying that a good strategy was deployed after a calming of thoughts. Same thing with trading. I got my ass whooped on Monday but after thinking about things, I didn’t allow my emotions to carry my judgement and put myself in a situation where I could recover. I’m not going to get into any more pep talk shit outside of saying that this is what trading is all about – controlling your emotions even if you’ve lost everything because YOU WILL lose everything. I don’t care what people say, I have blown up in my younger years and if I blew out my account then other “experts” have surely blown out their accounts. Anyway, whatever. I’m thankful to God that I’m going into the weekend positive. It’d sure be nice if I could have some time to play Halo though.