Indecision
I lost .83% today.
I had a hard time deciding what I wanted to do today. Some of my best performers took a dive today which is what I was anticipating (it always seems to happen that way). I got out at OK prices, and I didn't get whipsawed, but I continue to question my methods. The next couple of weeks will verify if I made the right decision or not.
My main goal was to maintain some of the gains that I made over the last few days. I've been unable to find the "sweet spot" between letting my profits run and avoiding big losses (including giving up big gains). I've developed a better trading journal with automatic updates in Excel, and that has really helped me with my decision making. I just wish it made EVERY decision for me. I guess that wouldn't be any fun, would it?
I'm uncomfortable with this downtrending market right now. I know there will be opportunities this summer and later on this year, so it is starting to make sense to avoid fighting this tape and get a little more strategic in my trades.
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I got too fancy and managed to be the stereotype for every cognitive bias there is in behavior finance. Now sitting on a big loss in a single name. Broke all my rules. Trade Size - too big. Entry Stop - not set. When the stock popped to my break-even, did I 'right size' the trade or did I get greedy and starry eyed? Yep... easy guess.
How great the gap between knowledge and action.
Small net gain on screened picks, most of which stopped out: DAR, MALL, WDC, AEHR, SPAR
My system development continues apace and I look forward to the next bull market.
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