Thursday, May 28, 2009

Wishful thinking ...

What a roller coaster of a day it has been for me. Its very unfortunate that this week emotions have come back so strong for me. The traders worst enemy is chasing a point of view with full commitment when the market tells you otherwise.

The amount of mixed signals we have seen this week is quite incredible - just reviewing my entries today - I have to admit - they all made sense. Of course hindsight is 20/20 and you can always say after the fact that they were horrible but I traded with signals and indicators that I have used very successfully in the past - yet the end of the day close was probably the worst I have had in a while. I blame my emotional attachment on this one.

Either way, we were not able to take out the 880 range - we got close in terms of price but failed to make a stand.

Taking a look at this 880 to 930 range - of course in hindsight its a sideways move without any clear direction. But it seems every day has given strong signals to either side here - bearish and bullish - back and forth.

Reminds me very much of the Mid January to Mid February range here - only key difference is that back during that time frame I did not trade any long term positions but just went with small 10 point moves - much easier.

Either way, just wanted to share some of my frustrations. Whether you are a bull or a bear - this here is very frustrating with the amount of mixed signals that are given. If you were a bull before 880 then you have nothing to worry about - if you were short above 920 you are in decent shape too - unfortunately I am stuck in the middle here as I had closed out a nice move off the 920 range and have been trying to re-enter but failing miserably yet again.


  1. The question is what will it take to convert you to bull. your line in sand. I think to cause the maximum pain everyones lines in the sand will be blurred.

    Is that scenario -- tomoorw gap down and move down to 888-880 and then reverse to touch 200 dma at the close now at 930. A perfect bull trap and bear capitulation. Monday resume to go down.

    just a thought.

  2. thanks for sharing your thoughts chris.

    lets hope things pick up for all of us.