Delayed Post - Good End to the Week

I ended last week on a great note. I had some wild P&L swings throughout the week; good day Monday, gave it all back Tuesday, then had a really bad day Wednesday, arguably my worst of the year, and then had a good Thursday. It was nice to finish a volatile week with a good day.

Unfortunately, I was not able to take advantage of the Non-Farm Payrolls report. However, I was very patient and was able to find a little opportunity in oil. I saw the stock market sell off and felt like oil set off stops over $70.00, so I was very bearish. After selling it near the high and making nothing, I waited and eventually bought it. I took a very quick loser, but this was a great loss. I learned that the market was even more bearish than I thought, so I turned around a sold it, and made a great quick trade.

While I was short oil, I was fading the euro. This normally proves to be very very bad for me, but every time I faded the down move and bought, I would get 20 ticks or so into the trade and scratch. I actually bought it many times while it moved down almost 300 ticks. Because I took quick loses and was able to capitalize on a few fading spots, it was ok for me. I have to remember that if I fade, and I take quick losses, and I have my reasons and exits before I fade, I can go ahead and do it. Its when I fade for no reason and I have no exit strategy is where it becomes hugely problematic.

Once oil and the euro sold off very far, and started to turn back around, I was able to buy oil near the low on a retracement, and then add to my long by buying eurostoxx. I held this trade a while , and waited for both products to hit my targets. I entered and exited my trade very well, and before I knew it, I was having a great day. I called it a day after that, I wanted to just leave feeling good and start my weekend.

Some good lessons in there. I can fade with reasons and defined entries and exits. I am seeing the market better. I can actually make more than I lose. Trading is a lot like golf, you may hit bad shot after bad shot and wonder why you even play that game, but one good shot, and you love it more than ever.