Today was one of those days that I was dealt an ace in the hole, thanks to one of my cats.
He did a tap dance on my chest around 3:30 am, so I said what the heck, may as well go see what the market is doing.
After booting up ninja, I noticed some symmetry and took a trade short, since last week’s low had already broken at the open, and triggered the downside in my opinion. Although I typically don’t play overnight, this winning trade gave me a nice cushion to risk at the open.
Thanks Tabby, you found me a nice trade.
I prefer trades with the trend whenever I can find them; just my style after fighting the markets in my early days. I discovered that was like swinging at a Nolan Ryan fastball while holding the bat in one hand.
The market is obviously oversold, but can always become more oversold. There will be a relief rally one day that will be welcome to a number of longs who are obviously in tremendous pain. I am assuming this because of their blatant anger and hostility when I overheard them saying about the shorts: “we’re going to rip their faces off.”
What ever happened to controlling our emotions?
The second Ace came when the market was kind enough to do the 50%+ pb at the open.
Risky? Sure. High odds? Not really.
All I know is that the market closed ugly on Friday, did nothing pre-market to convince me that anything changed, and if I was going to take a trade, it would be above the open and before the Gap.
Plan B was to scale in from 24 to 29, and back off if I got hammered.
The lunch bounce never even got to the 50; every bounce was short – a – bull.
Another Ace; just one of those days that worked.
Not everyday that we read the market right, but gotta yahoo when we do.
If you got ’em, smoke ’em.
Secret code traders knew the zone we were unmistakenly headed towards.
Never easy, but always the edge.