Trade Aptitude
Results of Thrusday’s Best S&P Turning Points: The suggested buy @ 4133.50 was cancelled due to the economic news release volatility nearing 08:30 ET.
Today’s Best S&P Turning Points (consider wider stops and less size in fast moving markets):
Buy 4029.75 stop 4024.25. Short 4146.00 stop 4151.75.
The World Sentiment Index: (+100/-100) PLUMMETS from +21 to -64 with all major world markets bearish on rising volatility. Historically it’s a coin toss which way price closes.
Catalysts: Import Prices @ 8:30. Fed’s Bowman @ 8:45.
Quick Tip: Pre-Paying
Before online retailing we went to a brick-and-mortar store. We saw, touched, used and/or fitted the merchandise. Then we decided and paid. Very safe, the sequence of paying afterward.
I recall the first time I wanted to buy shoes online. I couldn’t do it. I wanted to try them on, feel the fit, look in the mirror, and not have to ship them back and get a refund. Eventually I gave in and judging by the growth of online retailing, most everyone did too.
If you’re comfortable now with buying from an online retailer, you are one step closer to being an unemotional trader.
Huh?
Think about trading this way: The price you’re paying to enter a trade is your pre-determined stop loss. That’s the most the trade will “cost” you. The “merchandise” you’re expecting is the profit target(s).
You’re paying in advance not knowing if you’ll be happy with the “merchandise.” Unfortunately, there are no money-back guarantees in trading so it really is a binary event. Pay a fixed amount in advance, receive an unknown amount back.
If you have this mindset going into your trades, the mindset that you lost the stop loss amount already, you killed the negative emotion of loss if it occurs. Now the outcome can only be a breakeven result (you did get a refund!) or a range of profits that you’ll be more or less happy about. Try it.
Our team day-trades multiple strategies with edge in a live online environment. I can’t recall the time when someone was mis-emotional about a losing trade. Join our team, learn the strategies, and trade live with us daily for 30 days. Money back if you’re not blown away!
Trade Fearlessly,
Mike Siewruk