Lizard, I am prepared for combat again..I learned lessons again the hard way, the school of hard knocks..But every failure can be turned to triumph if you can learn something...I have a month and 1/2 yet in the contest, I will return to top 10...Have my gizzards all picked for Monday if they just don't gap on me...
Lessons learned..
1)Never leave open positions when you go on vacation
2)Never buy a stock when news is coming out next day, sell before...
GBIT was the teacher...The problem is I knew this before I left the position open!!!!...Did you know I had rebought LEAP at 3.00 a share on Wednesday..My Gann Retracement told me the 2.87-3.00 area should yield good support...I had a 100,000 share position in that stock for the contest...Then on Thursday morning, I sold it because the pros were toying with me by taking it back to 2.75 area...So I sold at minimal loss to buy GBIT...DUM or is it DUMBER!!!Did you see LEAP's move on Friday...Glad I didn't, I was on vacation..
3)Set a sell stop or a mental stop on all positions to limit losses...
When will I practice what every trader should live by....Return next week to the continuing drama....THE TRADER WHO WILL BE GREAT!!!
Educational Tibit of Night
A Torpedo is a trading term coined by Jeff Cooper..Basically, when the market tanks 100-200 points, you look for stocks that are in a strong sector, and in an uptrend, and are up for the day...Then when the overall market turns, you buy these stocks and ride the continuing momentum...
Or if you are looking to short, find stocks with a weekly(7 period) ADX of 60 or higher....Then when you observe the ADX heading south, short the stock with a tight buy stop above the day's high...
I have some great material that I will share from Connor's new book, "Advanced Trading Strategies" in upcoming posts..Take care, I am going to go walk dog and smoke one of NotH20's cigars...Regards, Mark |
