Where should I start...?
With my woulda/coulda/shoulda missed trades today?! No thanks... I'd rather not live hypothetically... or I could tell you about my monkey-on-crack like trading mentality? No... I'd rather not embarrass myself more than I have to...
Hmm... well, I have to note (for myself) that I made several "key" trading errors early this morning... which of course hurt my (already hurt) confidence level... then of course there was a domino effect to follow... oh the irony!
I played QI first thing this morning; I bought and sold WAY to fast on such low volume - ordered 1,000 shares @ $2.17... an hour later sold 1,000 shares @ $2.21 on a fake-out. (NOTE: I did stay true to my 3% loss rule though)... SIDE NOTE: I wanted to get out at $2.20, but with such low volume coupled with my lack of patience and experience... I panicked. From that panic of wanting "cut my losses quickly", I accidentally bought 1,000 shares @ $2.20 and sold @$2.19... WTFHMF?! Yeah, so I'm down $40 in commissions, plus what I lost on the trade(s). Good times people... good times!
Then, later in the morning... adding insult to (mental) injury... I do my (self-proclaimed) famous noob trade where I "enter (opportunity)-exit (get scared or loss)-then re-enter (another opportunity)" aka give-too-much-money-away-on- commissions!
I had a 1,000 shares of MITI reserved before market open today, from a TIMAlert. Of course I was busy watching QI aka waste of my time, so I missed the first $.50 breakdown which started around the $7.50 mark. Then when I was trying to buy at the $7.05-$7.07 range; I accidentally canceled my short order, because I "panicked" that the stock would go UP again... and ended up losing my 1,000 shares!!! (domino-effect) I tried to get them back and there were none available through the TOS trading platform (domino-effect), so I contacted TOS and they gave them back to me... by this time the stock was down to the $6.60 area... (domino-effect)
As it stands now, I'm holding MITI over-night... I will post more details on this dance tomorrow.
In summary, the above tells me a few things about my psychology when trading...
1. I still have no idea what I'm doing... in other words I'm trying to run a marathon with two broken legs...
2. I'm scared... but not to lose money... it's only $5,000. For me there are bigger, more important things at stake.
3. I'm not focused... which is causing me to trade stupid, lose stupid, and feel stupid aka low confidence.
4. I'm rushing the process... "PATIENCE, PATIENCE, PATIENCE" along with my other rules... haven't sunk in.
5. I'm letting my emotions get the best of me... which sums up 2, 3, & 4.
Suggestions welcome...
BottomFeederMillionaire (can someone tell me how to center this??? THANKS!)
3 comments:
I'm not sure if you've read other literature than Timothy Sykes' book. Perhaps reading more will calm you down. (It has for me!) Reading other people's experience is an excellent, effective, easy way to boost your own experience.
Don't worry, I've made the same "rushing" mistakes. I've told myself that if the trade becomes not what I wanted (like your MITI trade), then I won't trade it. I'm not sure what works for you, but keep trying. Practice makes perfect.
Oh yeah! When I lost big my first time, I re-read all of themarketkid's posts. It kinda reassured me that there are always rough times when I saw how many misses he had in the beginning.
Anaonymous...
I have read several other books... in fact I'm going to add a list on this blog of what I've read and what I'm currently reading.
And thank you for the kind words... my mother sent me a quote today which I thought was great...
"A good scare is worth more to a man than good advice."
-- E. W. Howe
I will not give up... I enjoy this far too much. And as I gain more experience I'll be able to deal with the down days better... it's mostly my perfectionistic nature that I struggle with... and I know in this game, there is no such thing as perfect.
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