Your Day To Smile
Today was the first day since early October that the algorithm lost money trading; we lost about $305 or about a hair more than 2%. No big deal; we just drew the wrong marble out of the bag.
Everything that could go wrong today did go wrong today. We had 4 different buy signals from Midnight going forward, and the last one theoretically would have made some of the losses back, but not enough to show a profit. If I had followed the algorithm exactly, I would have traded 170 oz., had 3 trades that lost about $3.50 on each [total of
-10.50 / oz] and the fourth trade would have profited by about $ 5.00 / oz.
That would have been a loss of -5.50 / oz times 170 oz = -$935. So, I lost about one-third of what the algorithm did and basically outperformed it for the day.
How did I do that? Well, I used lower leverage because I didn’t feel comfortable with the volatility action. The low of the day was a mystery tick that I never saw; it was just there and then it wasn’t. In addition to the mystery low at the algorithm exhaustion point, I got stop hunted the entire day. So, for all of you that think I have a magic touch when it comes to stops, just remember I told you so and that I have days when they come for me too; and today was that day.
Add to all this really bad spreads trading most of the day, and you have a recipe for losses.
I’m not a trader that dwells on losses, except to ask if I outperformed the algorithm. If I didn’t, it’s time for some introspection; if I did, then I just forget about the day and move on to tomorrow.
Nobody bats 1.000 but we come close.
Have a great day everyone!
-vegas
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