I don’t know
I don’t know, and I don’t need to know whereÂ Mr MarketÂ is going tomorrow.
The only thing I do need to know is where am I willing to take a risk, and what am I willing to risk.
Of course, targets and partial targets are also nice to know. That is part ofÂ our system, and as a day trader, I seek these short term imbalances and fleeting opportunities.
On good days, they are plentiful, and I guess right. I make money.
On bad days, I guess wrong and overtrade trying to get in synch with the market gyrations.
On really bad days I violate my rules and if I am lucky, I get punished.
Why lucky? Because I need to have the consequences of my bad decisions hammered home to me until IÂ no longer feel a need to break them. Violating my rules and getting rewarded for it only trains me to be sloppy and lose respect for the market.
Taking a calculated risk and placing a trade is what we do for a living. Being wrong is no problem; CONTINUING TO BE WRONG with my decision is definitely a problem.
That is something I doÂ know.