Tuesday, June 10, 2008

Bullish Reversal

If I was a Japanese Candle Stick, and really, there's no way for you to know if I am or not, today I would have looked like a pretty solid hammer formation.

My first trade of the day was also my worst, short DSX through $32. As you can see, it didn't break, and then traded with absolutely no volume up to $32.50. I could have covered immediately for a 15 cent loss or so, but instead, I let the stock trade up to my stop, which was around $32.25 and due to the thin trade, I got out 12 cents higher, at $32.37. So I ate nearly $200 in the first few minutes.

Later, I made all my money back in him when I caught the actual break of $32.

My best stock of the day was WFR, which I was watching for a break of $62. I don't think this was an easy trade or anything, so I'm happy I took my money and left him alone.

Shortly after my DSX mess, I had another mess in SID. And really, I made the same mistake as I did in DSX. I sold expecting the stock to break the fig, but then didn't cover fast enough when it bounced. But, like DSX, I kept watching the stock and made back my losses later, and then some.

So I'm happy with the way the day turned out for me. I even mowed my lawn in the middle of the day while SID died for me. In fact, I find I'm a better trader when I put trades on and then walk away. If I stayed, I'm pretty sure I would have covered the SID early... to "lock in profit."

Perhaps letting my winners run is as easy as doing more yardwork. Who knows?

Anyway, I'm happy with the way I kept my cool after I got clipped early. Despite the nice performance put in by my real office, I don't think I missed too much today from the HCPG system. Like I said yesterday, I feel I'm improving. I'm not going to look too far ahead just yet... just try to get green tomorrow as well.

Here's the stats:

P&L, $210
Best, WFR, $147
Worst, FCX, -$34

8200 shares traded.
7 stocks traded, 3 winners, 4 losers.

No comments: