Tuesday, 17 November 2009

Tough couple of days

The last 2 days have been a bit of a struggle. The markets were quite volatile, sometimes huge swings that I wasn't confident enough to get on, because in these markets it can just as easily turn the other way in a flash. I find its better to offer a price at a good entry point if possible rather than gamble on the swing, if it's a missed opportunity then there will be more along later. I don't know if I am right to fear these swings. As Mark Douglas says, each moment in the market is unique, just because its gone against you before shouldn't stop you from entering if you perceive an opportunity. I feel, however, that unless you are in right at the start of the swing, then the upside is limited and the downside can be pretty big, so I tend to stay away.
These markets also make me quite jumpy, and I am ready to exit my position as soon as it looks like going against me. In general I think I am right to do so.
So with these conditions, I have been struggling to find good trades, and haven't had much consistency. The positive that I can take out of this is that I still managed to make money overall. Yesterday I ended up with a decent total, and today I was about break even. I know that a few months ago I would have been much more likely to have gone to pieces and lost a lot of money.

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