Made so many mistakes with this trade, and broke so many of my rules along the way.
My original plan Monday was to be short on a gap up and cover quickly into a washout, and I did exactly that, a decent trade.
Unfortunately from that moment on, I developed a stubborn short-bias and decided to short on pops. Not such a bad idea, however, I didn't cover before eod when the trade had gone against me, and decided to take the position o/n which turned out a crucial mistake.
It gapped and ran the next morning, I didn't cover for a small loss, watched it move much higher before I finally covered for -$1500. From that point on, instead of leaving it alone, I made some revenge trades; I went long, and was up $700, yet I didn't take it, I wanted to be even on the day. It started to go against me and instead I closed it for a -$300 loss. Made a few further short trades and finished down $2k on it for the day.
The mistakes were plentiful, I should have covered before eod the day before, or as soon as it hit my max pain threshold of $1k. I didn't.
I shouldn't have added to a loser, I shouldn't have take a position so large ($20k at one point) as my position size limit is $10k.
Disappointing to see that I can fall back to this poor trading style again.
Even more painful is watching it now retrace all the way back to 7.50s ... oh well, so as long as I apply these lessons next time.
* buys/covers are marked on the charts in blue, sells/shorts in red *
No comments:
Post a Comment