Monday, February 24, 2020

Monday morning big gap down open

Market opened way down today. Opening was bought up (coincidentally, the gap-up I was watching and passed on, dropped). I did a pretty good job of waiting for the buying to stall before shorting, and keeping my stops. I think I picked well. I think I sized well. I had a Clockwork day, but I lost too much. LESSON: Even if I'm picking right, sizing right, trading right, I need to have a max day loss where I just realize "my" trades aren't working today. And stop pressing into it.

Psychologically I think it was an ok day. I just wish I lost less. How to do this? Stick with my smaller position sizing, I did that right, but I'm thinking of a max account loss percentage. If I get there, stop trading. Forget about the cash I haven't used yet. On a day my method isn't working, better to keep the cash dry.



Popular Posts