Monday, April 20, 2009

My worst trade ever

Last Friday, I made my personal worst trade ever. Bought 400 C at 4.46 premarket and left it open during the day. Lost $300 when I close out at $3.71.

This is purely undisciplined. Emotional trade, poor entry point, didn't close position timely.

I will be trading less in the coming two weeks. Doing too much day-trade made me lost the big picture and missed several good opportunities. I will go back to intermediate-term trading. I will still be using overbought/oversold signal for short term trading. I will enter only there's extreme situations.

I think the market is going to head to a clear direction very soon (after ER or after May 4th). A possible significant pull-back may be close.

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