There are days I honestly think about retiring. Thursday was one of them. Of course my frustration eventually faded and reality returned. This still represents one of the best methods for making money long term.
I probably spent most of the day cussing the market and the monstrous volatility that nearly wiped out all our gains for the entire month in one big opening drop. I realize every single trader on the planet faced the same opening drop and the potential for major losses. Those without stop losses today probably survived with a minimal loss. Those with stop losses did exactly that they took losses.
We were stopped out of every position we had and incurred a total loss of -$1.76. That is not the end of the world but it is highly frustrating for everyone and especially for me. It is a lot of work researching hundreds of charts, earnings dates, news and trends to make a recommendation. We were up about $3 for the month until this week and two days of volatility erased the entire month.
Even more frustrating is the closing print. Had we not stopped out on anything we would have still been up in the portfolio we had at the open by another +$1.83. The stops cost us -$1.76 but the positions closed up +$1.83. The market rebound put all those positions back into positive territory.
Portfolio at the close, fully recovered!
Obviously we can't go without stop losses because the opening drop could have kept right on dropping. When your risk is wide open you have to use protection and we paid the price for the insurance today.
Of course had it been a gap open to the upside we would all be celebrating and closing out the month in style. Let's hope that a trending market returns soon so we can capture those big profits. Thanks for listening to me vent my frustration!
I am not going to add any new plays tonight and let's see how long this volatility lasts.
No Open Positions
February Recommendation History
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