1st April 2020

Trades

• (Late yesterday): NQ, GC both sold by stop
• (Early this morning): ES & 3333 (China Evergrande) stopped (this and previous at a loss).

SX7P option sold via limit (up $10K).

• at desk this morning: sold 9 SX7P futures, to rebalance the hedge at a $3K loss,
• 5am: XAU calls expired worthless
• later sold 2K EURN
• put a trailing stop sale on DJ600 to open a new position if it goes down.

Thoughts

It’s tough to trade in this whipsawing market. Trying to reduce risk without losses.

afternoon trades

• Closed DHT (long hit limit), WORK (bought back short call), HG (stopped, but at profit), TLSA(short C)

Generally, it’s a risk off day, which makes you feel like a genius. The reason that traders swear by having a system, is that if you don’t, you get profitable days which make you feel like a genius when then leads to your blowing up. It doesn’t really matter what the system is, it’s just to bind you to the mask so you do not act on the siren calls of a green day.

Yesterday you saw the market moving higher, rather aggressively, and you decided to hedge some of your short positions by going long ES and NQ. This really wasn’t a successful strategy. Really, you should keep your risk low enough so that you can just forget about hedging. Hedging just means that you miss out on the bounce back.