for a couple weeks st and make all I've worked on seem wrong.
Nevertheless, the simple fact remains, unless the Dow has a weekly close above 12,600,
the LT trend is now down. How does that help a day trader ? It doesn't. With options
you will most likely make almost nothing or outright lose. And for the futures traders,
the tight stops on that 1% of your trading account will get hit anyway. No, I prefer going
all in and averaging down with more money as I encounter the drawdown on what I expect is
the beginning of a LT downtrend. So, I become like a commercial trader navigating the turning
of a huge ship. I'm not abandoning st trading, but I'm not parking the bulk of my money in cash.
I don't think that works over the long term, though right now I have no other choice in my 401.
I called LT bottom in gold around $300, I got shook out by not accepting small drawdowns.
I'm under no obligation to use stops or be concerned about the next upcoming options expiration.
Edited by CLK, 14 August 2011 - 01:53 PM.
