This Week Is Pretty Much Toast

Didn’t get to look at the open this morning. Just taking care of business. I did trade late last night and very early this morning (British Pound) and came out mostly flat on the PnL. It was all trades cancelling each other out. I just shut things down when I realized that I’d be hitting into operational capital.

I would like to get back to normalcy as quickly as I can but I’m afraid this will not be the case. Be the week’s end, I can start trading the cash open again but I’ll just let myself have the break until the beginning of next week. There’s just too many moving parts to this week’s priorities and I find myself becoming mentally fatigued to the point where I may just trade early mornings instead of doing the late night European opens.

I’m thankful for the things that I have in my life. I am so fortunate – especially on days like this where I enjoy relative peace and quiet. Of course, I always strive to have more but if there’s any doubt that I’m grateful for what I have right now, let me dispel it by acting thankful and decent.

Sequential Chaos

I did not get to see how the New York Stock Exchange opened up because I’ve got a couple of things that I’ve had to get to and I need to do it as early in the day and as early in the week as possible. I did, however, trade the early morning British Pound opportunities and left with a good amount of ticks for a decent PnL day – that’s all I could really ask for given the constraints on my time.

I don’t really have all that much to say. A part of me is a bit annoyed and out of sorts but these kinds of things but as with any business, things come up and you’ve just got to take things in stride and reduce things to the most common denominator. It’s a beautiful day so there’s really no need to feel bad and I’ve been able to take money out of the market.

I don’t know how many more days out of the week I’m going to have to skip the cash open but from the way things look, I’ll probably have to do really early trading for the rest of the week. It’s not the way I’d like to work but now the question for me is whether putting my capital to work in those conditions will be optimal for the overall portfolio.

I love this day, I love my life but I really detest this business.

We’ve Got Some Turbulence Here

I did not get to trade the markets this morning as I had an unexpected thing come up. It was nothing bad so I thank God for that. Still, as bothered as I am about losing a chance to make money, I also look at is as a day where my capital was saved. It’s kind of a wash that way.

My schedule is off to a not so good start and it’s been that way since late Saturday night. I like to be a very schedule oriented person and while I make allowances for stuff that come up, I find myself confused whenever too many unexpected things happen at a consecutive clip. I basically need almost a day to regroup. Ah, what am I saying, I need the whole day to do it. Between balancing the deceptively large demands of this dumb business along with my personal life, there are times when I have to think out of the box just to be able to achieve a worthwhile amount of peace and quiet.

Here’s to not losing any capital.

Not The Way I Wanted To End The Week

profilepic1The New York Stock Exchange started off with some good energy in the morning, however, I am still a bit worried about the spreads on the DOM. What would only be a 5-10 point swing can easily become a 20-25 tick bonanza (ok, I don’t know why I used that word). Anyway, the state of the market necessitates some changes that have to be made – both in risk and expectation. Unfortunately, none of those things done successfully guarantee a winning day; only one where you don’t lose your pants.

I traded Feeder Cattle this morning and through the 4 trades that I made, I came out barely positive on the PnL. I just wasn’t getting a good enough read on the market and I figured to make up for the crappy performance in the cash open. You would think that luck was on my side after moving on from that asset but it was not meant to be. My performance in the cash open could only be likened to the sickly and pathetic cries of a boxcar train living drunkard that drank some weird moonshine and is suffering from bouts of heavy diarrhea – yeah; it was that kind of morning for me. I ended the day very much in the red.

With this week being truncated and signifying yet another span of trading sessions with the cash open being wonky, I got a chance to reflect on how much I regret being in this business. If not for the string of fortunate events that God bestowed on me, I would probably be the most miserable human being on this entire planet. The thing is, trading accounts for a very real and very big part of both – that misery and that fortune. I wish I could say that some catalyst will take me away from me touching both poles of emotional highs and lows but I have learned that it comes with the territory of being an entrepreneur. I would almost give anything to be able to make up a significant part of my salary doing a 9-5 job but that will only trap me in terms of time and time is a very very important thing to me. On Friday’s like this where I end up in the red, I can only hope that I win the lottery so that I’ll never have to fire up this trading software ever again. I wouldn’t want to look at another DOM nor would I want to do some quick math gymnastics regarding risk and capital exposure. I don’t ever want to do that bullshit again because I truly truly hate the almost arbitrary nature of this business.

Nevertheless, I am typing this angry post from the comfort of a central unit ventilated home with ample amounts of food and drink and an Xbox One waiting to be played – I can feel the irony and it is looking at me right in the face. I am thankful, nay extremely grateful, to God for the fortune and luck that I have because that’s the only thing that separates me from the guy stocking inventory at Walmart wondering how he’s going to make his mortgage for the month and keep his wife and kids happy. Life is hard. It would be easy if I could cash in a huge jackpot lottery ticket. The first thing I would do would be to tell trading to suck a big fat schlong.

 

Forgetfulness

The New York Stock Exchange was pretty wild this morning if you were on the right side of the trade – but after the shakeout. I can imagine the look of disgusted hopelessness from other traders who got shaken out on the first drop only to dig in again. The market just took off and never looked back.

It was a decent trading day for me but that was only because I decided not to trade any other assets. It could have been a disaster otherwise.

I am thankful that I made out ok today, but I wish I didn’t have so much shit going on that I totally forgot to post.

Very Quick Morning

profilepic3The New York Stock Exchange started off a little wonky this morning but it was only because of the nerve-wracking spread coupled with the volatility. After a few minutes, the overall market started to calm down and before long I was nibbling with a little bit of size here and there. Even though it would take a longer hold time to achieve the results I needed I just figured instead of trade in volume and take my chances of connecting on 2 or 3 really good trades.

While I connected on a handful off decent sized trades, I just couldn’t escape the orbit of having to size down on the cash open. The result was a nice green PnL number but horribly inefficient in terms of how much commissions I spent trying to get it. Next time around, I won’t be so liberal. I could have achieved the same results trading in half the time – but with this dumb business being so arbitrary, you just never know and you have to roll with the punches. I traded Wheat this morning for a small loss. I wasn’t willing to exert more capital on other markets so I just took my opportunities and that was that.

It’s a beautiful day in the East Coast. It really feels like spring. If there was a good day to meet up with the wife for lunch, this would be it. Although I doubt there will be outside dining, it’s worth a shot. I’m a bit tired. I don’t know what it is. I’m wondering if I got a decent amount of rest over the President’s Day weekend. As always, I am thankful to God for my blessings and will concentrate on being a decent and professional human being for the remainder of the day.

Did Not Trade

I didn’t trade today because the wife and I looked for a new vehicle for her. She has had her SUV for years before I met her and it was just time for a change. We’ve been going back and forth about her options for months and finally narrowed it down to exactly what she wanted. The only difficult thing left was to do some legwork in terms of going to different dealerships and getting the deal we wanted. We actually went as far up into Salem, Massachusetts and Providence, Rhode Island looking for deals. At the end of the day, we were able to find one just outside of the Massachusetts border and went in for final signing this morning. This obviously interfered with my trading schedule.

I was reminded about the general difficulties behind getting a new vehicle but if there is one thing I know it’s that walking in with a preexisting bank finance note is the best way to go. Additionally, while getting a brand new car can be the most optimal strategy, sometimes it pays to get the previous year unless there has been a new redesign. I am also not the type to waste my time trying to “beat the salesguy”, all I want is to get the most fair and equitable deal I can. I know that no matter what, I will leave the dealership feeling compromised but if I approach from a standpoint of equity I find that negotiations are far more pleasant, even if you’re trying to finance with them.

In the end, my wife got a good deal on an SUV that she really wanted with enough options to make her feel like what we are paying is a fair price. It’s a great luxury SUV and just sitting in the passenger seat felt great. I can imagine how it felt for her being the driver. Cars are a great enjoyment but make no mistake, they are NOT an investment. Cars, houses, luxuries are all liabilities. They take money out of your pocket. The only thing that a car gives back is its ability to get you from one place to another. Of course, the nuance in that statement is the level of comfort you are willing to pay for during the journey. I am more liberal with cars and (to a large degree) real estate because you can customize them to fit your EXACT needs and wants versus your ability to pay for them. Most other things are just that…things that take money out of your pocket. So that’s the other thing when you look for a car; throw away any language that frames a car as an “investment” because it’s not and will never ever will be and if someone is trying to tell you how it’s an “investment” then that person doesn’t really understand what an investment is.

As always, I am so thankful to God that we are in a position to purchase the SUV much less a capable moving vehicle. This will keep my wife happy and maybe I can go and purchase some new video games while she’s distracted lol!

Circumstance & Fortune

profilepic4The New York Stock Exchange opened wildly today. I guess yesterday’s low beta day was an anomaly and we may now have to face the reality of large spreads on the indices being here to stay – for the moment. I took a look at the DOM and decided that it wasn’t worth slamming on my brain cells over so I decided to take the PnL that I got from other asset trading and call it a day.

I traded the British Pound early this morning and the waiting and round trips were probably what eventually wore me out and contributed to my deciding not to trade the open. Trading the British Pound was ok. There were points when I wanted to back out and reverse on some trades but I stuck to my convictions for most of them and it proved to be the difference. I am glad that I did not trade the cash open after seeing how the market absorbed that -100 point premarket. Anyone who would have thought to go in short would have gotten completely slaughtered.

It’s a rainy Friday here in the East coast. While I would have liked to take my chances in the open, I have to accept the fact that opportunities may not be there all the time especially given how different the market has been acting. I never thought I would fear a day where there was volatility but when there’s too much of a spread, that often signifies something bigger and more dangerous at work. I’m not blaming HFT or anything like that, I’m just saying that the current environment makes it dangerous for traders like myself to conduct business. Sometimes, God has a way of giving us directions. I can certainly argue that this market overall is a message being communicated to trade carefully and prudently.

One Of The Sweetest Days

profile 6The New York Stock Exchange, I feel, has finally found some type of equilibrium. I logged in this morning to see a 263 gain in the premarket. However, the important part was that the DOM was showing a 1 -2 tick flash spread which was being closed quickly meaning that there was enough action in the inside to warrant an overall calm in the market. This was a good sign as a calm market is what everyone needed. I really was kind of scared for a moment there but as happy as I am now, I know that we are not out of the woods yet. There are still unsettled sentiments in the market that could suddenly rear their heads in the most inopportune time to disrupt equilibrium all over again.

That being said, I wish we all could have more easy days like this. I traded Wheat this morning and got a pretty decent return out of 4 trades. Not big moves mind you, but enough to give the PnL a decent looking number. The cash open was as perfect as any cash open could ever have been. As soon as we opened, I saw that buying interest waned significantly and after 3 trades of nibbling to the short side, I went in short with the hammer. It is rare that I will load up and catch a wave like that but I am so thankful that I did. I usually have to get that same type of PnL through trading in and out for small moves with size. To be able to grab a move like that was nothing short of amazing. Today was a very very very productive day for me – and it was something that I needed after the last couple of trading sessions where I was looking at the possibility of getting drilled each and every market day.

I am thankful to God that I was able to get the kind of PnL I did today. I always say this but trading is a very hard endeavor and to get a PnL like this so easily just makes the rest of the day/week easier to deal with. I think I may take Friday off just because I believe we have endured as much as we are going to endure volatility-wise but then again, you never know. Right now, I’m just grateful and I plan on spreading that positivity into the day. It’s a rainy Thursday but you know what? It may as well be a summer day because of how well the market went. Hopefully, you guys are making good money too.