Week 14 is in the books and it wasn’t very exciting. Overall, the market slid a little and we saw a lack of momentum. I took fewer trades than usual, based partly on some setups gapping through my intended prices, and in other cases it was a matter of some patterns simply never confirming to trigger an entry.
I wanted to offer a video recap of the trades I took, and I gave back a little ground on a net basis. However, my focus on risk management left the damage at a minumum, so I’m eager to get to next week and make up the difference.
This show-and-tell look at the trades I took this week should give you a feel for not only how I managed my trades, but also the kinds of setups which have been working well of late.
Be sure to view in HD (720P) and full-screen mode for best quality in the video.
Hi Jeff….
One of the things that I look at is the winner/loser ratio of your triggered stocks (well I don’t fully tablulate it). But it strikes me that in the current environment, momentum type plays, both of your picks and my separate picks, are having a harder time. So, I guess my question is, do you have any comments/feel for what is more likely to work and what is less likely to work in the current overall environment.
Now some comment on “trading plan/s” ….
I think that “could have / should have / would have” are things which if they had been done, would have deviated from the “trading plan” and open up a much more seat of the pants and emotional trading. Having and following a trading plan is, I think, critical. Of course, the plan can adjust as conditions change, but whatever plan is being followed needs to be adhered to, in my opinion, almost all the time. Which is not to say that some flexibility isn’t OK, but that it’s easy to self-justify “winging it” by saying “flexibility”, which then greatly increases risk. So, I was surprised at the number of times that you said “should have” or similar. 🙂
My trading plan said that this last week (being pre-holiday) would be low volume and more range bound intraday than usual, so that momentum plays would be “harder”. The gaps in the morning also cause me to adjust to the expectation of a more range bound day. So, overall, I took very, very few trades and if momentum type plays my entry and stop conditions were modified in view of the adjustment to the market week conditions.
I do love your review videos……Keep it up !!
Hey Jon,
Thanks for the feedback, I always appreciate it. I think with the momentum plays having a tougher time making headway that perhaps it’s time to start considering some more support/resistance reversal types of plays, or just favor the pullback plays more. As you know, trading is a constant effort of doing more of what’s working and less of what isn’t (Gartman’s Rules).
With the coulda/woulda/shoulda comments, that is annoying so I apologize if I came across that way. Any references to that effect was an effort to point out an applicable lesson. I do like the points you brought forth regarding your trading plan and expectation of pre-holiday trading & of course the gap effects of less momentum (which I do believe applies often).
Thanks again for sharing your thoughts, have a great week of trading and otherwise!