- disrespecting the market: i was just too happy being back to the market and I forced on trades that I wouldn't normally enter.
- made careless entries: i chased breakouts, added on position after it had gotten against me, then got shaken out since I had build a big position.
- I was still on cloud 9, living on my past month's glory: notice Don Miller's mindset to the right of my blog. Today's mindset was at the tip of graph.
- focused too much on short term action, without regard to the bigger price picture: tried to go short $FAS and $SSO when the overall price picture was still in healthy uptrend.
- engaging in revenge trading: after i lost all of my morning profits, I began revenge trading with bigger size "hoping" to get back all the losses with one trade. Eventually, I lost more.
- I paid too much attention to chatters on Twitter and entered trades without making the ideas my own (therefore: chasing alot of things).
- No matter how horrible my entries were, I obeyed my stop loss and took them without second guessing. I always use mental stops, and was able to maintain the stops even when I was full out emotional
- I stopped myself from trading further after recognizing my amateurish behaviours. There's always another day. Capital preservation should always be job #1 (most important thing I learned from Brian Shannon)
Conclusion:
- I made myself run twice the distance i normally run.
- I lost $144 net. (obeying stop losses saved my ass today). Even it is small, I knew it would have been prevented all together if I had been focusing on being disciplined.
- Most importantly I need to relax, recognize my mistakes, and move on. Tomorrow will be a better day.
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