It was my 31st bday and I was a little elated – jst like everybody feels on their bday, and I think I was not suitable for trading “mentally” as I was talking on phone since morning with every sort of ppl like friends, relatives & colleagues & remembering good ol times and hi-hello stuff. That made me a little ignored towards days activity – which was a mSAR day, means –most important days in month of trading, when security is trading near its daily mSAR value.
Nothing happened till one gets mentally tired of non-action day, i.e. when 75% of days trading period is over and at 2.20pm I was hungry and went for lunch, which took 15 mins, and when I came back to see the quote BN was up 100 pts. Way above my days SL. I was like … what the Fuck??? Biggies just scrwed retail traders.
I immediately swung into action and covered my shorts , putting an end to my loss`. (which could have been doubled if I hadn’t covered at 10,010, BN closed at 10080)
Its very important to keep calm during times like these.
I lost approx 250 points (80 x 3 + brokerage) ,
I never wanted to do 3 lots, as my monthly cap is at 2 lots for current month (july 2010) . but as I was elated from the start and feeling very good about day [bcoz it was my birthday…. (What the fuck)]
But due to this mistake I went short in M3 contract, i.e. September , instead of august. so, to balance September I went short in august, and thought of covering in September but that didn’t happened due to my fucking mind – I ignored the rules. And for that I paid. Good 80 points for nothing.
If only I had played by the rules of trading only one lot while starting out, and than adding when its in profit of 50 points than I wouldn’t had made this much loss.
So, the lesson I learnt from this is never start any trade with multiple positions. Always wait for the first one to show the profit and than keep adding.
So, today I vow to never trade multiple qty on same price, let the first one show the profit and than add on. And never be ignorant on the day of mSAR. Always be on alert. BN has power to run 120 points in 15 mins. See the chart above. And that can fuck u very well.- if ur loaded with multiple qtys ON WRONG SIDE...
Never mind...
I cleared all -ve thoughts of bad trading day went off with wifey n kid for a little pizza party n enjoyed the day in the end.
