I have faith in discipline. It's emotion that leads to dumb trades. Futures are up modestly = Dow futures only +41 while FAZ was -6% - but again, it was a bad trade from the start. Before afterhours trading closed yesterday, I thought about getting some FAS to balance out my FAZ trade, which I didn't do. FAS is up 6%, which was what I knew could happen based on previous boxes and patterns of ascending volume in FAZ during the past few months. 3-day surges followed by selloffs. Major selloffs.
Wednesday, November 2, 2011
3:21 am (Hawaii) The more I think, the better I trade. It's when I fail to think, fail to write or journal, that I fall off the tracks. Discipline would've kept me in and stopped me out of FAZ at good price points yesterday. Instead, I chased, stayed in overnight despite expecting a possible bounce in bankster stocks, and I sold this morning at 42+ for a sizable loss (almost $3/share).