Well.. I’ve decided that I’m going to post some of my trading experience on my blog.. I really don’t have a reason for it. But I don’t know, I don’t have anything to hide, and if I make a trade which I someday make $200,000 on.. I’d love to know where I started and look back.
I’ve been day trading for over 3 weeks now.. and things are going well and I feel that I’m getting a good grasp over risk-management and timing. However I do still have some faults. I’m hoping that I’m not making a VERY large one right now. I am long BAC.
I purchased BAC at the close 3 trading days ago when it was just about at $6.00.. I believe my purchase price was $5.98. It is not trading at $5.57 with the economy looking as bleak as ever. The last 2 days haven’t been kind to this stock.
I’m still way above my starting capital, but for the life of me I can’t understand why this stock is getting so beat up. The old saying is most definitely true “the stock market can remain unpredictable longer than one can remain solvent.” I hope my spelling is ok, it just means that a lot of the time it’s a waiting game with the markets to do what we want or think is going to happen, and a lot of times it can push you to the brink if you’re not careful. This has happened to me a few times, but for whatever reason.. this time I’m a little calmer than usual.. Perhaps that’s unfounded and stupid. I don’t know.. we’ll find out tomorrow I suppose.
I have 5000 shares of BAC long from 5.98. They are now trading at 5.57. For anyone keeping track that is a loss of over $2000. NOT COOL! Add this to the fact I had loss of $2800 the day before this trade, and I’m sitting at just over $5000 right now (from $10,000 at the first of the week).
Tomorrow is a big day.. I will be watching carefully and I do have a mental stop in my head.. but the problem with mental stops is that you have to obey by them no matter what, and nothing is more bothersome than to have your stop set, execute the trade for the loss.. and then watch as the stock moves in your direction a few minutes later.. which would have saved you hundreds.. Yep.. trading is fun.
See you tomorrow.. here’s BAC’s YTD chart.
