The market has been very difficult to trade lately. The consensus has been to wait for capitulation and then profit from a huge short covering rally. The market has been very oversold and any short positions I traded had been done with extreme caution. Any long positions I took had been sold even more quickly because the market had simply lacked upward momentum/conviction.
The market forces me to become more discriminating which setups I trade with, it is also forcing me to be more patient and disciplined regarding my entries. I find that having a great entry will save myself alot of hair pulling, allowing me to stay in the trade longer and waiting for the pattern to play out. I also find that once I get a good entry, the position tends to work immediately to my favour. In so doing, I find my typical trade lasts no more than 1 minute. Sure I sometimes leave alot of profits on the table, but I find the market increasingly difficult to ride as any tide can turn within minutes or even seconds.
It is important to realize that trading isn't about catching the bottom or selling at the top, it's about getting something out from between. So far, I find that that's the safest way to play this market. I'm sure I'm doing the right thing for the moment, since I'm up so far this week and my good entries have helped keeping commissions to a minimum.
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