My trading cycles over last couple of years have been getting progressively shorter as volatily and uncertainty has increased to the extent that over the last few months have become a daytrader with a few exceptions.
The situation we are now faced fits the model I have been using with some success.
ie. Dow drops , buy 5 / 10k block at amount 10.20 then out at small profit well before close.
ie. Panic selling, buy, small recovery , out at profit.
Every now and then get it wrong and stock keeps going south after 10.20 so tight stop loss and out.
BUT lived through 87 and resemblance is uncanny to today's market. Tomorrow could be one of those days where there will not be a profit to be had.
In 87 Dow had a similiar drop on friday followed by 20% drop on monday.
This would set up the mother of all daytrades on tuesday morning our time.
Still learning to short , harder than it looks.
What to do, What to do?
Will make up mind about 10.19 tomorrow.
Rob.
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Daytrader's lament.
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