Drawdowns suck and they are inevitable

EQUITY RUN:  NO UPDATE.     The vast majority of a trader's lifetime will be spent in a drawdown from peak equity.  The key is to not get greedy, not get fearful and keep your chips together for the next trading day.  You can't do this if you don't trust your system. TRUST IT.  I'm … Continue reading Drawdowns suck and they are inevitable

Did you see that 27% rally? In 3 days!

EQUITY RUN UPDATE:  $11,038.   It happened fast.  It happen strong. It was RBOB Gasoline, September delivery and in the October delivery a bit also. The move was, as it often is the case, a reaction to an "act of God", namely hurricane Harvey, which effectively shut down the refinery industry on the Texas and … Continue reading Did you see that 27% rally? In 3 days!

Though stretch? Don’t think you can out-hustle the markets…

Equity run update:  $11,056.             It's football season again.  It's time for coaches' press conferences... When they talk about being "out-played", "out-coached", and "out hustled" by the other team.  When the market beats you up, do not try to "out-hustle" it.  You will only make the losses worse.  It's been … Continue reading Though stretch? Don’t think you can out-hustle the markets…

How to deal with (trading) heartbreak.

I've had my share of scars. Some of the most memorable moments in my trading life, where positions that went from profitable, to potentially life changing profitable, to painful losses. The "life-changing" part of some trades triggers the type of irrationality that characterizes many life experiences, not least of which the type the junior high … Continue reading How to deal with (trading) heartbreak.