Wednesday, July 7, 2010

Compounding Mistakes

12:00pm CDT - Mistakes on beans today cost me $1150. Funny how they tend to compound - once you make one mistake, it is much more likely you will make another. I nearly had a signal to short beans this morning but officially I didn’t. So what do I do? I enter a short order and promptly get stopped out just over a minute later with 1 tick slippage to boot! Clearly a breakdown in my recent flawless execution of my systems. So what do I do? I sit patiently and execute the next signal which is a long position. A+ for me, recovering from my F. But instead of letting it go to target (9.20), I take it off 2 cents earlier figuring it won't get there and seeing my bean P/L is now back at zero, I can negate the mistake I made earlier. But it doesn't work this way. Target was hit a couple minutes later without my limit order sitting there waiting. At least a 30 cent winner in crude made the day palatable....

Net breakdown (contracts traded):
ZS $13(12), GCL $591(2)
RESULTS FOR DAY
Contracts:14
Net $P/L:604
Wins:2
Losses:1
Win%:67
Avg$Win:580
Avg$Loss:-556

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