Spydertrader's Jack Hershey Equities Journal II

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Quote from stevegee58:

One of my many failings is that I become wed to positions. I'm gradually learning to not get attached but let the losers go and not look back. Just take the losses and keep your head down waiting for the next opportunity. I'm one of those guys who keeps old losses on a quotetracker watch list so I can torture myself when they turn around.
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With all due respect to you, Stevegee58, you really need to quit that habit. :D All joking aside, you really need to stop doing this. It serves no purpose, and might even hinder your ability to think clearly before entering (or exiting) a trade. Allowing yourself to become married to a position most certainly decreases your capital. You do not need to try to stop. You do not need to work on stopping, and you don't need to attempt to stop. You simply need to stop - immediately - allowing yourself to become married to positions.

In contrast, I fall at the opposite end of the spectrum. If a trade doesn't work out as expected, I close the position. Not only do I never allow myself to become married to a position, I can't even tell you the names of 90% of the companies in the Final Universe. True Story. I trade symbols. I don't know the company names. I don't even know in what industry they reside or what products the make. I might occasionally remember a name from the top of a chart, but that is it.

As Jack says, "this isn't about being right; It's about making money." I wasn't 'right' because I traded TWGP, the market was right. I simply traded on the same side as the market. The market does its job, and we do ours. Our job description does not include getting married to positions.

Now, go delete those losers out of Quotetracker and forget about them. Once you debrief from a trade, you should only remeber the lessons learned, not the amount of money won or lost.

Good Trading to you all.

- Spydertrader
 
Quote from stevegee58:

One of my many failings is that I become wed to positions. I'm gradually learning to not get attached but let the losers go and not look back. Just take the losses and keep your head down waiting for the next opportunity.

I'm one of those guys who keeps old losses on a quotetracker watch list so I can torture myself when they turn around.
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Steve,

I've been trading for 12 years now and have had the benefit or learning from my mistakes and still survived.

The following have served me well:

1. The market is never wrong. If a trade is losing money, it's not personal. The market cares little or not if you exist. Don't think it is going against you.

2. Use stops and honor them.

3. Stay disciplined.

4. Trades that lose money and are part of a plan are NOT bad trades, just trades that lost money as expected in the plan.

5. Greed is good.

6. The outcome of the next trade is independent of previous trades, ie don't fear putting on the next trade just because you had a few losing trades in a row.

Doug
 
Doug, those are true words of wisdom.

And if you want hard numerical proof, ponder this:

Even if you were to be using a GUARENTEED 85% true system, every 1000 trades you have a 50/50 chance of hitting 10 bad trades in a row.

Good trading, and good money management to you all.
 
Quote from Spydertrader:

Added GIGM to my Final Universe this evening.

- Spydertrader
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Thanks S...

Is there a central site where the "universe" is consistently updated? I used to see one in the WL site.

regards.

PS..thanks for your advise on FORD...that would have been a debacle!
 
Quote from virgintrader:

Is there a central site where the "universe" is consistently updated? I used to see one in the WL site. Thanks for your advise on FORD...that would have been a debacle!
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Because traders use various methods for obtaining their individual lists of High Quality Equities, many people maintain their own Final Universe within whatever charting program they choose to use. Others store their Universe in Excel. You can locate detailed instructions for building and maintaining your own Final Universe in the Methods Post at the end of Journal One. I post my own Final Universe on occasion in an effort to provide a comparison for those just learning these methods. To that end, here is my current Final Universe:

ARD ASPV ATHR BBC BNT BTUI CKCM CNTF COGO CTHR DXPE ENG FMD FORD FTEK GIGM GMXR GROW HANS IIG ISE IVAC LMS MEK MIND MTEX NCTY NGS NTRI NWRE PWEI REDF SFCC SIRF SMDI TASR TIE TRLG TSCM TWGP

With respect to FORD, the time may have come to retire this old (and reliable) member of the Final Universe. Where once, a signal on FORD represented a near sure thing, it now (unfortunately) has slowly degraded into oblivion. I know many who recall the fine profits made while trading FORD in the past. Perhaps, like a Phoenix, FORD will one day rise again to its former glory. However, reality indicates FORD's days may be numbered.

Good Trading to you all.

- Spydertrader
 
Quote from stevegee58:

Anyone biting FTEK today?
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Yes. Up $0.14 so far with tight stop.
EMKR has been fun too despite the posting of a quarterly loss yesterday. Shorts may be getting out.

Doug
 
dougcs,

At one point I think you were tracking Hershey DU stocks with high short interest ratios to see if they gave an added advantage due to short covering.

Have you been able to draw any conclusions about the high SIR stocks vs. 'normal' Hershey stocks?

Just curious.

- ace
 
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